3
Sep 12

AUTOMOTIVE LAW...Continued

Dear Woman Motorist Automotive Law:

Just one week ago I purchased a 1993 Toyota Tercel 2-door sedan with 71,000 miles for $6,500 from a dealer. The following morning we realized that the car was emitting bluish exhaust. Within a day we realized that the oil was a quart low so we added oil. Well, long story short, the rings were burnt and needed replacing and the spark-plugs were "oil-fouled". After much coercion and discussion with the dealer, the work was done.

However, friends have told us that the reason the valves were bad was because the car had been run dry of oil, or, for some other reason, got very hot. During our discussion regarding repair of the Tercel, we informed the dealer that we didn't want the car, but wanted them to find us a comparable Tercel because we felt that the car engine had probably been severely stressed and therefore prone to other future breakdowns.

One week later: The Tercel is repaired and ready for us to pick up. Legally, we do own the car and I know that the dealer was not legally obligated to repair the car since we did sign the "as is" agreement when we purchased. At this point they say they are looking for a comparable replacement, but wish us to come pick up and drive the Tercel while they find another Tercel for us within "a month." But this is just a sort of verbal agreement and they are not bound in any way. They are still pushing us to accept the repaired Tercel. Is the repaired car worth keeping or should we really try for the replacement if we can? I would appreciate it if you could offer some advice for us to consider as we are still negotiating at this point. I ask this question for my own education, so to be better informed regarding valves and able to discuss this situation with the dealer.

Thank you for your time. Great Web site.

Cheri Ryan and Von Kilcup

Attorney Steve Swann's Answer

Dear Cheri and Von:

If this dealer agrees to swap you into another Tercel, I suspect you will have to accept a very low repurchase price ($3-4,000?) and pay top dollar for the replacement. Be cautious. More than likely, after you pick up your car, you will never hear from the dealer again!

This issue is "is the car fixed?" If yes, live with it. If no, you might want to closely examine the "as is" deal -- an experienced warranty litigation attorney should be consulted. For example, "as is" is a contract law concept. However if the dealer knew the vehicle's defective condition prior to sale, you may have a fraud or consumer protection law claim. Your complaints are not uncommon. When I review the paperwork in similar cases, I often find various violations of law unknown to the buyer.

I suggest going to a Toyota dealership for a diagnostic check-up. If the car is OK, keep it. If you are still unhappy, sell it.

Good luck and keep us posted on your progress.

Attorney Steve Swann for Woman Motorist Automotive Law

Dear Woman Motorist Automotive Law:

I drive a '93 Grand Prix. Upon 3 occasions I have had smoke coming from my steering column. The first time it was on warranty, the second time it was off warranty but fixed on good will. The third time was the end of October '97 and I had to pay over $1200.00 to have my car released from the garage. Do you have any site or information where I can find out if other people have had this problem? The last time the garage did not stand behind the service and I paid. I was told that there were some Grand Prix's in previous years noted for this. Help me!!

Dolores
Vermilion Mental Health Clinic

Attorney Steve Swann's Answer

Dear Dolores:

If you check your Pontiac warranty manual you will find that GM agreed to repair or adjust or replace defective components for a fixed period of time/mileage, probably 3 years/36,000 miles. If you made warranty complaints during this period, the manufacturer is still required to correct warranty problems even if the warranty has expired. Therefore you may still have rights to reimbursement from GM for the money paid.

The first step is a letter to GM -- follow the instructions in the warranty manual. You might call the Better Business Bureau to file a complaint -- BBB does arbitration for GM.

Finally if you still have a complaint, you might want to consult with an attorney familiar with warranty litigation and especially the Federal Magnuson-Moss Warranty Act (15 USC 2301). Be prepared to file a lawsuit because it is often difficult to settle claims with GM.

Generally, there is a four-year statute of limitations to file a lawsuit -- four years from delivery of your vehicle. An exception is the future performance exception, which would extend the time to file a lawsuit to four years from GM's refusal to honor a proper claim for warranty repairs. Recognize that state laws on this point can vary; the best bet is to meet with an attorney in your state. Call the Center for Auto Safety, Washington, DC, for the name of an attorney that would be experienced in warranty litigation.

Good luck and keep us posted on your progress.

Attorney Steve Swann for Woman Motorist Automotive Law

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Disclaimer: The responses to legal questions on automobile law, and the information provided by Womanmotorist.com and Mr. Swann, are offered only for general educational purposes. They are not offered as and do not constitute legal advice or legal opinions. Mr. Swann is licensed in Virginia and Tennessee, and this information should not be considered as a substitute for specific legal advice from an attorney licensed in your jurisdiction. For assistance in locating your own automobile law attorney, you should contact your state, county or city bar association, or the Center for Auto Safety, Washington, D.C.