If I purchased a used car from a dealership but 2 days later realized it had transmission issues that were not disclosed although they knew about them, can I get my deposit back?

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If I purchased a used car from a dealership but 2 days later realized it had transmission issues that were not disclosed although they knew about them, can I get my deposit back?

Or am I stuck with the vehicle? Were they required to disclose the issues to me prior to purchasing the vehicle?

Asked on June 18, 2015 under General Practice, New Mexico

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 5 years ago | Contributor

They are required to disclose known mechanical, especially transmission (since those are so serious and potentially expensive) issues; failure to do so could be fraud, which would give you grounds to void or rescind (that is, undo) the transaction (give car back; get money back) or otherwise seek compenation (like the cost to repair). The issue is, did they know and can you prove it? If they did not know, they would not be liable, since fraud is the knowing misrepresentation of material, or important, information. Note that it can be enough if they *must* have known--that is, the condition is such that anyone who drove the car, including the dealer's sales staff and/or mechanics, would have been aware of it.


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