Duped by dealer, do I have legal recourse?

[carlconsults]

In late May I paid a hefty deposit ($12,000) to a local Toyota dealership for a used 2007 Prius (option 5 pakg) with only 7k miles (used to be a fleet lease). I was told that the vehicle would not be ready for about a week. I explained that I would be traveling internationally, and that while available for the next 7 days, would then be absent for 10 days following that. I asked if this would be a problem; answer from dealership was "no problem".
I was called 7 days later as I was boarding my international flight to begin my 10 day absence. I was told that the vehicle was ready to pickup anytime. I explained again my 10 day absence and that I would be in to pickup the vehicle upon my return and I reconfirmed with the dealership that this would not be a problem, right? Right.
Ten days later I went in to pickup the car and pay the remaining due. I was surprised when the dealership informed me that "the vehicle is no longer available because it was not able to be listed as a certified used vehicle"---one of my stipulations for purchasing the vehicle. They said that the vehicle had actually been in a an accident and while now repaired and looked good, that it didn't pass the 160 point inspection that qualifies it for "certified used". (if this is really true, I'm probably better off not being offered the vehicle).
Question: how could they call me 10 days previously and tell me it was ready to pickup, and now ten days later it wasn't even "certified" and thus not available to me? I felt so angry, deceived and disappointed!
I was offered another vehicle of stated "similar value, price, and features" with 11k miles---at the same price. I was extremely disappointed to find 6 hours later at the closing on the vehicle purchase that it was NOT in fact "similar value" because it was an "option 2 pkg" when the original deal was for an "option 5 pkg"---something that never came up uring our 6 hour discussion! At this point I was feeling totally screwed. And their mantra all day was "if you don't buy it, there are 10 more people lined up to take it and pay more, but we'll honor the price we originally agreed on 3 weeks ago."
I have since followed the vin number of the original vehicle (the one with 7k miles and "option 5 package" that I put a $12,000 deposit on) through an online title search company and have found out that the vehicle was put on sale on the date they called me and 16 days later the state dmv reported that it was titled (to someone other than the dealer). Since I left for my international travel on the last day of May, I believe that the dealer sold it to someone else to meet their sales quota (and probably at a higher price since the vehicle is in high demand and prices keep rising).
Since the vehicle I bought instead doesn't have the same features, I have had to buy a few "after market" upgrades" for the vehicle in order to bring it up to the standards I expected on my first deal. Now I realize that the dealer may have defrauded me by selling the vehicle I had put a deposit on to someone else. I've been trying to find out if it got registered with Toyota USA as a "certified used Toyota", but they said that that is up to the dealer's 160 point inspection.

I'd like to find out if I have any legal recourse. If in fact the dealer sold my first choice vehicle to someone else, and find out that this is fraud (or some other illegal dealing), I'd like the dealer to feel some pain.

What do you think? How to go about it?

[morpheusx]

I hate to say this but this is how business works. "Morals" go all out the window when money comes into play. You did exactly what they wanted, they gambled that they would still be able to sell you another vehicle and their gamble paid off. Its just sour grapes at this point and all you should be worried about is the vehicle you ended up with.

[carlconsults]

I know I dhould just "give it up" and be satisfied with what I got. I AM getting 52 mpg first 1500 miles, already! I got a Garmin Nuvi 660 for NAV and Bluetooth ($300 on eBay). I just want to expose the dealer's dishonest practice (and make it hurt a little). Oh well.

[Godiva]

You really don't have any options.

Yes, they screwed you out of your original vehicle.

You should never have bought the other vehicle for the same price. It had more miles. And as you found out didn't have the same package. Of course, you should have researched the packages yourself to determine exactly what package you were buying.

They screwed you and you have no legal recourse except to bad mouth them at every opportunity.

Be sure to list them in the "bad dealer" thread here on Priuschat. You'd be surprised what comes up in a Google search. You'd think dealers would get a clue to the internet, but there are still plenty of people out there that don't do their homework.

[sdtundra]

Dont know about where you live but here in San Diego, theres a guy that has his little segment...The Turko Files. Where citizens can go with their problems/gripes and he brings it out publicly. Maybe try and see if the news will do anything like that or the papers maybe to try and take away some of their potential business due to their practices. Also, you may be able to contact the BBB of the area.

[Godiva]

Better Business Bureau is a waste of time. They're feckless.

[a priori]

Did you come to an agreement with the dealer about the application of your deposit? Did you put any of this in writing?

If the agreement (regardless of whether it was in writing) was that you would get a 2007 Package 5 with 7,000 miles for $xx,xxx, and they didn't offer it to you, then you didn't have to complete the transaction.

If the agreement was that you would get a SPECIFIC (VIN on the contract) car for a SPECIFIC (actual dollar amount) price, then when they didn't sell it to you, but they sold it to someone else, you would be able to sue for breach of contract. Most likely, though, you would not be able to recover the car. Instead, you would be given the option of forcing them to perform something close to the original contract and give you any lost value as well. If there was a writing with specifics, then we might have something to act on.

In any event, you have completed a transaction. If the contract you signed describes something other than the car you purchased, then you have a real opportunity to make a claim. Otherwise, the best you can do is claim a bait-and-switch. This will be difficult to prove, but it wouldn't be impossible.

The reality is that you revised your deal with them when you agreed to purchase the other car for a similar sum. The chance for a claim against them in this situation is exceptionally small, unless you have a contract, in writing, describing the car you were supposed to buy.

Now, having said all of the above, I offer you the more difficult question: What are your principles worth to you? I've had many clients demand that I act for them because their claims are matters of principle (some of course are matters of principal, but that is another issue). I respond, as politely as possible, by asking them the value they place on this principle and whether they are willing to spend it on me in order to get the desired result. Most people in this situation are upset or offended at this question, but if they have an opportunity to consider it carefully, they will see that a legal action is not the best way to respond. (Further, I do not want to send a very expensive bill to someone who already has had a financial loss and will not get any money in a judgment.)

I have no doubt this dealer took advantage of your exceptionally high desire to purchase a Prius. The deposit seems unusually large to me, and it must have seemed to them a guarantee you would pay about any price for the Prius presented to you. No doubt they would have been happy to return your $12,000, because there likely was someone else in the next office ready to pay as much.

I'm sorry you've gone through this experience, and I only hope it does not diminished your enjoyment of a truly great automobile.

[PriuStorm]

I'm very sorry this happened to you. Just curious... have you tried having a chat with the owner?

[ranchogirl]

Isn't this what is called Bait and Switch? It's illegal. I'd ask for a refund of some funds for the lower package and additional miles or call a lawyer.

[patsparks]

Originally Posted by PriuStorm

I'm very sorry this happened to you. Just curious... have you tried having a chat with the owner?

+1
Although talking with the owner may not inflict the pain you wish to inflict it may put some cash back in your pocket without the hassle of getting legal eagles into the mix. It cost you almost nothing. While talking to the owner take notes.

After talking with the owner, if you haven't reached a satisfactory resolution get on the phone and ring Toyota customer care. Even though this wasn't a new purchase Toyota would like to protect the reputation of their name, they have no interest being associated with companies who behave in this manner. They may be interested in applying a little pressure on the dealer on your behalf.

If that fails you need to consider how much pain you want for you. Bad mouthing a dealer is bad unless you have evidence to carry in to a civil court to show that on the balance of probabilities you are right in what you say. Taking legal action may result in costs to you. Do you have a small claims court?