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Dealership Fraud, nothing I can do since I signed a manditory arbitration clause?

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redspeed

Junior Member
What is the name of your state? Tennessee

I recently went to a local dealership here in TN and saw a vehicle I wanted to purchase there. I was told by the salesman it passed a full safety inspection and he let me do a quick test drive. I signed the contract papers, which included a manditory arbitration agreement clause which is something I regret now.

I drove the vehicle home and park it. The next day I try to back out of my driveway and the vehicle will not go in reverse. I also found the rear tires to be completely bald as well as a long list of other major components on the vehicle that did not function. I brought this to the dealerships attention and was basically told tough luck you bought it as is.

I asked them for a copy of the safety inspection and was ignored. I later got them to admit there was never a safety inspection on the vehicle and they never even looked at it prior to placing it on their lot for sale.

I asked them for my money back or to repair the vehicle and they refused. They only offered to sell me another vehicle they had on the lot which would cost over twice as much.

The issues I have with the deal are as follows

The dealer never made a buyers guide window sticker for the vehicle and they claim its because they were going to auction it later on so they didnt need to. I know this is a FTC violation and is required on all used vehicles placed on the lot for sale

The dealer listed my vehicle wrong on the sales contract as selling me, strangely enough a van instead of the 2 door sedan car I bought.

The dealer sold me a theft deterrent warranty for $300 stating they will compensate me in the event the alarm installed on my vehicle failed to prevent the vehicle being stolen. I dont know if this is reffering to the factory anti theft device on my vehicle, which is broken and does not work or another alarm they supposedly installed. Either way there is not an alarm on my system and Im sure its fraud selling me a warranty on something I dont have.

There was also an issue about the verbal communication from the salesman and sales manager who both told me the vehicle passed a full safety inspection and lied about this when there was never an inspection.

Lastly there was an issue relating to the bald tires on the vehicle and transmission where I came into some close calls of being in accidents because I got stuck in an intersection because I couldnt back up, and also my vehicle losing control on slick roads because the tires are bald. I also had a blowout on one rear bald tire like I knew would happen eventually, and the dealer sold me the vehicle with locking lug nuts on the wheels which I didnt find out until I tried to change the tire. They did not provide me with the key, or removed it from my vehicle on purpose, and also refused to help so I had to pay out of pocket again to have someone break them off so I could change the tire.


I contacted the arbitration company listed in my agreement and they want $1000 just to file the claim, and then I have to pay the arbitrator by the hour. The dealer refuses to answer my calls regarding starting the arbitration case or assisting with the fees. In fact I had someone give me a ride to the dealer and tried to speak with the owner who threatened to call the police on me if I didnt leave and take my vehicle, or buy a new vehicle from them and just refused to speak to me on the issues.


I guess my question is first would I be able to have a court dismiss the manditory arbitration agreement on grounds that the contract is all wrong? Second, if I am able to do this would I have a case in court against the dealership?

Thank you for any help you can offer. I tried contacting local attourneys but they wont speak with me once they hear its a case about a used vehicle.
 


msiron

Member
and you didn't notice bald tires because? and when you drove it, you used reverse at some point? and how long have you owned the vehicle for? and you got a 'state' safety inspection sticker from this dealer?
 

redspeed

Junior Member
I know its partially my fault about the issues with the vehicle for not paying attention enough and placing too much faith in the dealership. The salesman who took me on the test drive told me I could drive it down the highway and once I did that he asked me to get out and he drove it back to the dealer and parked it himself. I didnt really think anything of it at the time.

With the tires, the dealer put the glossy "wet tire" spray on the tires which makes them look new, which was actually the only thing they did do to the vehicle. I didnt give them a close look because of this.

Im not sure what kind of safety inspection it is, but when I first spoke to the salesmanager he told me the vehicle passed a full safety inspection and that it wouldnt have been possible to sell me the vehicle had they not done so. I later found out no safety inspection was ever performed on the vehicle.

The issue has been going on for over 2 months since I bought the vehicle. I brought it to the attention of the dealer either the day after or the very next day because of a holiday or the weekend I believe and Ive been fighting with them ever since on getting this taken care of. Since then theyve just been stalling me with false promises of fixing my car or finding another for me but I know now theyre just buying time and lying to me more. The dealer also told me they didnt consider having the two rear tires bald and having no reverse to be a safety issue.

Im still driving the vehicle right now as I dont have any other means of transportation. I cant afford tires right now so I still have the spare on the back, and I know the other bald tire is going to blow out soon as well. I have to park on the street since I cant back out of my driveway.
 

msiron

Member
Your not getting it! Answer the questions please.

1. DOES your state have a required vehicle safety inspection (it is Tenn. registered, right?) a 'state' safety inspection has NOTHING to do with the dealer/seller, and did you have to obtain a state smog certificate?

Yes or no, the answer is simple if you registered the vehicle.
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2. WHAT DATE did you buy the car?

Glossy tires, clean and glossy out the outside is no excuse for not observing the tread of the tires.
----
check the trans fluid, make sure it's adequate, and get it in to be fixed somewhere.
 
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redspeed

Junior Member
Im not sure about other counties, but the one I live in does not require a safety inspection or emissions inspection.

I would have to pull the contract but I bought the vehicle about November 1st 2007

As for the transmission, the fluid is fine, the transmission is just damaged, its a 6 speed and it slips out of reverse when you try to let the clutch out. I dont have money for new tires right now which is first on the list, and for a new transmission its going to be about $3000
 

redspeed

Junior Member
Your not getting it! Answer the questions please.

check the trans fluid, make sure it's adequate, and get it in to be fixed somewhere.
lot of help you were. state the obvious and tell me to fix the car with money i dont have.
 

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