Auto Dealer Fraud Complaint

IN THE ☐ _______________ COURT

☐ _______________ COUNTY, STATE OF ☐ _______________

☐ _______________________________________________
Plaintiff,

v.

☐ _______________________________________________
(Dealership Name)

☐ _______________________________________________
(Additional Defendants, if any)

Defendants.

Case No.: ☐ _______________

COMPLAINT FOR AUTO DEALER FRAUD
Violations of State Consumer Protection Laws, Federal Odometer Act, and Common Law

JURY TRIAL DEMANDED

I. INTRODUCTION

1. This is an action for damages arising from Defendant automobile dealer's fraudulent, deceptive, and unlawful practices in connection with the sale of a motor vehicle to Plaintiff.

2. Plaintiff seeks compensatory damages, statutory damages, treble damages where applicable, rescission of the sale, attorney's fees, costs, and such other relief as this Court deems just and proper.

II. PARTIES

Plaintiff

3. Plaintiff ☐ _______________ ("Plaintiff") is:

☐ A natural person

☐ A resident of ☐ _______________ [City], ☐ _______________ [State]

☐ A consumer who purchased a motor vehicle from Defendant

Defendant Dealership

4. Defendant ☐ _______________ ("Defendant" or "Dealer") is:

☐ A corporation organized under the laws of ☐ _______________

☐ A limited liability company

☐ A partnership/sole proprietorship

5. Defendant operates an automobile dealership located at:

☐ _______________________________________________

6. Defendant is in the business of selling new and/or used motor vehicles to consumers.

7. Defendant holds dealer license number ☐ _______________ issued by ☐ _______________.

Additional Defendants (if applicable)

☐ Finance Company Defendant:

8. Defendant ☐ _______________ is a finance company that:

☐ Assigned the retail installment contract

☐ Is the holder in due course

☐ Is subject to holder liability under 16 C.F.R. § 433

III. JURISDICTION AND VENUE

9. This Court has jurisdiction over this matter pursuant to ☐ _______________.

10. Venue is proper in this county because:

☐ Defendant's dealership is located in this county

☐ The transaction occurred in this county

☐ Plaintiff resides in this county

IV. VEHICLE INFORMATION

11. The vehicle that is the subject of this complaint:

Year: ☐ _______________

Make: ☐ _______________

Model: ☐ _______________

VIN: ☐ _______________________________________________

Mileage at Purchase: ☐ _______________

Purchase Date: ☐ _______________

Purchase Price: $☐ _______________

Type: ☐ New / ☐ Used / ☐ Certified Pre-Owned

V. FACTUAL ALLEGATIONS

The Transaction

12. On or about ☐ _______________, Plaintiff visited Defendant's dealership to purchase a motor vehicle.

13. Plaintiff purchased the above-described vehicle for a total price of $☐ _______________, financed as follows:

14. The financing terms were:

• APR: ☐ ___________%
• Monthly Payment: $☐ _______________
• Number of Payments: ☐ _______________
• Finance Company: ☐ _______________

VI. FRAUDULENT/DECEPTIVE CONDUCT

[Select all applicable counts]

COUNT I - YO-YO FINANCING / SPOT DELIVERY FRAUD

☐ This Count Applies

15. Plaintiff purchased the vehicle and took possession on ☐ _______________ under an apparent completed financing agreement.

16. After Plaintiff took possession of the vehicle:

☐ Defendant contacted Plaintiff on ☐ _______________, claiming the financing "fell through"

☐ Defendant demanded that Plaintiff return to sign new financing documents with:

• ☐ Higher interest rate: From ___% to ___%
• ☐ Larger down payment: From $_____ to $_____
• ☐ Different loan term: From ___ months to ___ months
• ☐ Addition of co-signer requirement

☐ Defendant threatened to:

• ☐ Report the vehicle stolen
• ☐ Repossess the vehicle
• ☐ Damage Plaintiff's credit

17. The original retail installment contract:

☐ Was a binding contract at the time of signing

☐ Did not contain a valid conditional delivery agreement

☐ Contained an unconscionable or unenforceable contingency clause

18. Defendant's yo-yo financing scheme:

☐ Was part of a pattern of deceptive conduct

☐ Was designed to obtain more favorable financing terms after Plaintiff became emotionally attached to the vehicle

☐ Was used to extract a larger down payment or trade-in value

COUNT II - ODOMETER FRAUD

☐ This Count Applies

19. Under the Federal Odometer Act (49 U.S.C. § 32703), it is unlawful to tamper with an odometer or provide a false odometer disclosure.

20. Defendant violated the Federal Odometer Act by:

☐ Rolling back or tampering with the odometer

☐ Providing a false odometer disclosure statement

☐ Failing to disclose that the odometer reading was not the actual mileage

☐ Failing to disclose that the odometer had been replaced

☐ Failing to disclose the odometer was "not actual mileage"

21. At the time of sale, the odometer read ☐ _______________ miles.

22. The actual mileage of the vehicle was ☐ _______________ miles.

23. This discrepancy was discovered when:

☐ Service records showed higher mileage

☐ Carfax/AutoCheck report showed higher mileage

☐ DMV records showed higher mileage

☐ Other: _______________________________________________

24. Under 49 U.S.C. § 32710, Plaintiff is entitled to:

☐ Three times actual damages or $10,000, whichever is greater

☐ Reasonable attorney's fees

☐ Costs

COUNT III - UNDISCLOSED DAMAGE / SALVAGE TITLE

☐ This Count Applies

25. Defendant failed to disclose material information about the vehicle's history:

☐ Prior accident damage

☐ Flood damage

☐ Fire damage

☐ Salvage/rebuilt title

☐ Frame damage

☐ Airbag deployment

☐ Lemon law buyback

☐ Prior rental/fleet use

☐ Other: _______________

26. Plaintiff discovered this undisclosed condition when:

☐ Obtaining vehicle history report (Carfax, AutoCheck)

☐ Independent mechanic inspection revealed: _______________

☐ Body shop inspection revealed: _______________

☐ Other: _______________

27. The fair market value of the vehicle:

• As represented: $☐ _______________
• With disclosed condition: $☐ _______________
• Difference (damages): $☐ _______________

COUNT IV - FRAUDULENT MISREPRESENTATION

☐ This Count Applies

28. Defendant, through its agents, made the following false statements to Plaintiff:

☐ _______________________________________________

☐ _______________________________________________

☐ _______________________________________________

29. These statements were:

☐ False at the time they were made

☐ Known by Defendant to be false

☐ Made with reckless disregard for the truth

☐ Made with intent that Plaintiff rely upon them

30. Plaintiff reasonably relied on these statements in deciding to purchase the vehicle.

31. Plaintiff would not have purchased the vehicle, or would have paid substantially less, had the truth been known.

COUNT V - FAILURE TO DISCLOSE / CONCEALMENT

☐ This Count Applies

32. Defendant had a duty to disclose material facts about the vehicle because:

☐ Defendant had superior knowledge of the vehicle's condition

☐ Defendant made partial disclosures requiring full disclosure

☐ State law requires disclosure of: _______________

33. Defendant actively concealed or failed to disclose:

☐ _______________________________________________

☐ _______________________________________________

34. This concealment was material to Plaintiff's decision to purchase.

COUNT VI - PAYMENT PACKING / HIDDEN CHARGES

☐ This Count Applies

35. Defendant engaged in "payment packing" by:

☐ Adding products/services to the transaction without Plaintiff's knowledge or consent:

• ☐ Extended warranty: $_______________
• ☐ GAP insurance: $_______________
• ☐ Credit life insurance: $_______________
• ☐ Paint/fabric protection: $_______________
• ☐ Window etching: $_______________
• ☐ LoJack/GPS tracking: $_______________
• ☐ Other: $_______________

☐ Inflating the documentary/dealer fee beyond legal limits

☐ Charging for services not rendered

☐ Failing to itemize all charges

36. These charges were:

☐ Not disclosed or explained

☐ Presented as "required" when they were optional

☐ Added after Plaintiff agreed to a different monthly payment

COUNT VII - BAIT AND SWITCH

☐ This Count Applies

37. Defendant advertised a vehicle at a specific price of $☐ _______________.

38. When Plaintiff attempted to purchase the advertised vehicle:

☐ The vehicle was not available

☐ The price was higher than advertised

☐ Defendant attempted to sell a different vehicle at a higher price

☐ Defendant added mandatory "add-ons" not disclosed in the advertisement

COUNT VIII - STATE UDAP VIOLATIONS

☐ This Count Applies

39. Defendant violated ☐ _______________ [State Consumer Protection Act/UDAP Statute], specifically ☐ _______________ [cite statute].

40. Defendant engaged in unfair and deceptive trade practices including:

☐ _______________________________________________

☐ _______________________________________________

41. These practices caused Plaintiff ascertainable loss.

42. Under state UDAP law, Plaintiff is entitled to:

☐ Actual damages

☐ Treble/multiple damages

☐ Attorney's fees

☐ Costs

☐ Other statutory remedies: _______________

VII. DAMAGES

43. As a direct and proximate result of Defendant's conduct, Plaintiff has suffered:

Compensatory Damages

☐ Overpayment for vehicle: $_______________

☐ Cost of repairs to remedy undisclosed defects: $_______________

☐ Diminished value of vehicle: $_______________

☐ Loss of use: $_______________

☐ Alternative transportation costs: $_______________

☐ Other out-of-pocket expenses: $_______________

Emotional Distress

☐ Embarrassment and humiliation

☐ Anxiety and stress

☐ Inconvenience

Statutory Damages

☐ Federal Odometer Act (49 U.S.C. § 32710): Treble damages or $10,000 minimum

☐ State UDAP treble damages

☐ Other statutory damages: _______________

Attorney's Fees and Costs

☐ Pursuant to Federal Odometer Act

☐ Pursuant to state UDAP statute

☐ Pursuant to contract

VIII. HOLDER LIABILITY (IF FINANCING ASSIGNED)

☐ This Section Applies

44. The retail installment contract contains the required FTC Holder Rule Notice (16 C.F.R. § 433.2):

"ANY HOLDER OF THIS CONSUMER CREDIT CONTRACT IS SUBJECT TO ALL CLAIMS AND DEFENSES WHICH THE DEBTOR COULD ASSERT AGAINST THE SELLER OF GOODS OR SERVICES OBTAINED PURSUANT HERETO..."

45. Finance Company Defendant ☐ _______________ is a holder of the contract and is therefore liable for Defendant dealer's violations.

46. Plaintiff's recovery against the finance company holder is limited to amounts paid under the contract, unless the holder participated in the underlying fraud.

IX. PRAYER FOR RELIEF

WHEREFORE, Plaintiff respectfully requests that this Court:

☐ A. Enter judgment in favor of Plaintiff and against Defendants;

☐ B. Award compensatory damages in an amount to be proven at trial;

☐ C. Award treble damages under the Federal Odometer Act (49 U.S.C. § 32710);

☐ D. Award treble/statutory damages under state UDAP law;

☐ E. Rescind the sale and order return of all monies paid;

☐ F. Cancel the retail installment contract;

☐ G. Award reasonable attorney's fees;

☐ H. Award costs of this action;

☐ I. Award pre-judgment and post-judgment interest;

☐ J. Award punitive damages for willful and malicious conduct;

☐ K. Grant such other and further relief as this Court deems just and proper.

X. JURY DEMAND

Plaintiff hereby demands a trial by jury on all issues so triable.

Dated: ☐ _______________

Respectfully submitted,

_________________________________________________
[Attorney Name / Pro Se Plaintiff]

_________________________________________________
[Bar Number if applicable]

_________________________________________________
[Address]

_________________________________________________
[City, State, ZIP]

_________________________________________________
[Telephone]

_________________________________________________
[Email]

Attorney for Plaintiff / Plaintiff Pro Se

VERIFICATION

STATE OF ☐ _______________
COUNTY OF ☐ _______________

I, ☐ _______________, being duly sworn, state that I am the Plaintiff in this action, that I have read the foregoing Complaint, and that the facts stated therein are true and correct to the best of my knowledge, information, and belief.

_________________________________________________
[Plaintiff Signature]

Subscribed and sworn to before me this ☐ ___ day of ☐ _______________, 20☐ ___.

_________________________________________________
Notary Public

My commission expires: _______________

EVIDENCE CHECKLIST

Documents to Preserve:

☐ Purchase agreement/Buyer's Order

☐ Retail Installment Sales Contract (RISC)

☐ Odometer disclosure statement

☐ Vehicle history reports (Carfax, AutoCheck)

☐ Title documents

☐ Window sticker (Monroney sticker if new)

☐ Buyer's Guide (FTC Used Car Rule)

☐ All advertisements (save screenshots, photos)

☐ All communications with dealership

☐ Financing approval/denial notices

☐ Trade-in documentation

☐ Extended warranty contracts

☐ GAP insurance documents

☐ Repair invoices

☐ Independent inspection reports

☐ Photos of vehicle and damage

☐ Video recordings (if legally made)

LEGAL REFERENCES

Federal Laws:

• Federal Odometer Act (49 U.S.C. § 32701-32711)
• FTC Holder Rule (16 C.F.R. § 433)
• FTC Used Car Rule (16 C.F.R. § 455)
• Truth in Lending Act (15 U.S.C. § 1601 et seq.)
• Magnuson-Moss Warranty Act (15 U.S.C. § 2301 et seq.)

Common State UDAP Statutes (verify for your state):

• California: Consumers Legal Remedies Act, Bus. & Prof. Code § 17200
• Texas: Deceptive Trade Practices Act, Tex. Bus. & Com. Code § 17.41
• Florida: Florida Deceptive and Unfair Trade Practices Act, Fla. Stat. § 501.201
• New York: Gen. Bus. Law § 349-350

Reporting Resources:

• NHTSA Vehicle Safety Hotline: 1-888-327-4236
• FTC Consumer Complaint: ftc.gov/complaint
• State Attorney General Consumer Protection Division
• State Department of Motor Vehicles

This template is provided for informational purposes and does not constitute legal advice. Auto dealer fraud laws vary significantly by state. Consult with a qualified attorney for advice specific to your situation.