Car Dealer Fraud – What is it?

July 27, 2017


Many people have a preconceived notion of car dealers as fraudulent sales people, rolling back mileage and fixing a vehicle just enough to sell it – only to have it break down a few days later. Think Danny DeVito’s character in Matilda. And while judging a group based on the actions of a few is incorrect, we have noticed MANY instances of auto dealer fraud in the greater Philadelphia area – including in New Jersey and Delaware.  


Car dealer fraud lawyer Michael F. Niznik handles auto fraud cases in the Philadelphia and New Jersey areas.


How to Prove an Auto Dealer Committed Fraud


Car dealers commit fraud in a number of ways. The two most common forms of deception are non disclosures or intentional misrepresentations.  A non disclosure could entail failing to disclose a known defect in the vehicle and passing the car off as fit for sale. An intentional misrepresentation could include fixing a damaged car and misrepresenting its accident history, mileage rollback, or misrepresenting the terms of financing.


Our firm proves fraud using an automotive expert to inspect the vehicle, generate a report, and if need be, testify that the vehicle was damaged, changed or the terms of financing were altered intentionally.


How Much Money Can I Recover for Car Dealer Fraud?


Recovery depends on a number of factors, including the severity of the fraud, the jurisdiction, and the damage to the vehicle. In New Jersey, the consumer protection statute provides for TRIPLE damages. This means that if you sustained $20,000 in damages as a result of the car dealer’s fraud, you may be able to recover $60,000 in damages alone. These damages can then be combined with other monetary amounts – such as forcing the dealership to return any money paid towards the vehicle AND forcing the dealer to pay off the remaining balance of your loan – all of which will increase your recovery. Pennsylvania also has a favorable auto dealer fraud law which allows for significant recovery for the vehicle owner.


Hiring a Car Dealer Fraud Lawyer


The Law Office of Michael F. Niznik is a Philadelphia auto dealer fraud law firm that represents clients on a contingent basis in Pennsylvania and New Jersey. This means that you do not pay any money to our firm to represent you up front. We obtain our fee from any settlement or judgement by the dealer or the dealer’s insurance company. If you or someone you know is the victim of a car dealership, contact car dealer fraud lawyer Michael F. Niznik today for a free consultation at 267-589-0601.


Please reload

Featured Posts

Will I Go To Jail For A DUI?

May 14, 2020

Please reload

Recent Posts
Please reload

Please reload

Follow Us
  • Facebook Basic Square
  • Twitter Basic Square

© 2020 by Law Offices of Michael F. Niznik

  • Facebook Social Icon
  • Twitter Social Icon

Every case is different. Nothing on this site should be taken as legal advice for an individual case or situation. Viewing the information on this site, or sending a message to our firm through this site, does not create an attorney-client relationship and will not entail a confidential communication.