A customer purchased a used 2006 Scion TC from Frontier Auto Sales upon the representation that it was certified by Toyota Motor Company and that it was “like brand new.” Frontier Auto Sales also stated that the Scion TC was “in great condition” and had never been in an accident, but within thirty days of buying the vehicle, the SRS warning light turned on, indicating that there was a problem with the airbag.
The customer returned to Frontier Auto Sales, who contacted Sierra Toyota in Lancaster to repair the 2006 Scion TC, but the issue was never fixed. Over the next year and a half, the customer would return to Frontier Auto Sales and Sierra Toyota at least six times due to the SRS warning light and would eventually discover that they had never even attempted to repair the problem.
Two years after the purchase of the Scion TC, the customer was involved in a severe accident with the vehicle. Upon collision, the SRS warning light turned on, but the airbag failed to deploy. Luckily, the customer was not injured, and the Scion TC was taken to Sierra Toyota for repairs. But a few months later, the airbag warning light activated again. When the customer brought up the issue with Sierra Toyota, she was told that they had not fixed the airbag light after the accident, but had “only reset it.” She was also told that she would need to contact her insurance company to have it repaired. Before she left, Sierra Toyota reset the SRS warning light once again, but did not provide a receipt for it.
The customer called her insurance company the same day and learned that the 2006 Scion TC had a history of prior airbag issues and that the Frontier Auto Sales and Sierra Toyota had to document all repairs by law. The insurance company suggested that the customer call Toyota Motor Sales for assistance.
The next day, the customer called Toyota Motor Sales and left a message. She never received a response, and, eventually, she was forced to contact the dealer investigations unit at the DMV, who recommended that she seek legal assistance.
The customer hired our offices and learned that the issues with the 2006 Scion TC were obvious indications that the car was a “lemon” and that Frontier Auto Sales and Sierra Toyota had engaged in fraud by failing to properly disclose the conditions of the vehicle. Through our experience handling auto fraud cases and the endurance of our attorneys, the customer was able to reach a favorable settlement agreement with Frontier Auto Sales, Sierra Toyota, and Toyota Motor Sales, where the dealership and its associates would repurchase the Scion TC, pay monetary compensation, and cover all attorney’s fees and costs.