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The Consumer Law Group, P.C.

Dealers Who Knowingly Provide Inaccurate Carfax Reports May be Liable for Auto Fraud

When purchasing a used vehicle, many consumers want to see a Carfax or AutoCheck report. In some cases, these reports may be provided by the dealership. Unfortunately, relying on these reports alone is not enough to protect you from being a victim of auto fraud. There are many cases where these reports contain inaccurate information. If the dealer knew or had reason to believe that the information contained in the report was false, you may have a claim for compensation.

How a Carfax Report May Be Inaccurate

Carfax reports typically check for the following information about a vehicle:

  • Salvage titles
  • Flood damage
  • Odometer rollbacks
  • Other vehicle problems

Unfortunately, many consumers have reported problems with the Carfax report on the vehicle they purchased. According to Consumer Reports, Carfax reports are most likely to be inaccurate for vehicles that suffered extensive damage in an accident, but were not declared a total loss, especially in the following cases:

  • The vehicle did not carry collision insurance.
  • The vehicle was a fleet or rental vehicle and was “self-insured.”
  • The vehicle’s damage fell below the “total loss” threshold and did not require a salvage title.

In some cases, auto dealers may be aware of the missing or false information on the Carfax report and fail to disclose this information to consumers. If the dealer does so, the consumer may have a claim against the dealership. It is important to seek legal guidance in order to protect your legal rights if you suspect a dealer withheld information about the accuracy of your vehicle’s Carfax report. An attorney can assist you in gathering the right evidence to demonstrate that the dealer knew the Carfax report was inaccurate. We have helped many clients deal with their auto fraud claims, and we can help you as well. We encourage you to check out the feedback of our many previous clients on our client testimonials page today.