Curbstoning is a kind of dealer fraud that involves direct sales

On Behalf of | Jul 6, 2022 | Auto Dealer Fraud

Claims about auto dealer fraud in Connecticut often focus on misrepresented vehicles or warranties that the dealership had no intention of upholding. However, there are many other forms of dealer fraud, some of which are harder to detect than others.

There are many laws that dictate the obligations of vehicle dealerships and their employees, including disclosure obligations relating to a vehicle’s condition. Some licensed salespeople in Connecticut will try to avoid their legal obligations through curbstoning.

What is curbstoning?

Some people try to avoid dealerships because they don’t want high-pressure sales or they worry about paying a markup on the vehicle that they purchase. They may go online to look for used car sale listings or even drive to local lots where sellers put their vehicles out for display. If someone who works for a dealership and who is not the actual owner of a vehicle pretends to be the owner, their behavior constitutes curbstoning.

People may overpay for vehicles in a curbstoning scenario because they trust someone who claims to be the owner and says that they have maintained the vehicle when they are actually just a salesperson. More importantly, they may have a harder time taking legal action if there has been a misrepresentation of the vehicle’s condition. They also won’t have the protection of lemon laws and warranties offered through dealerships.

If you realize after going through with a transaction that you fell victim to curbstoning, you may be able to hold the salesperson involved or the dealership that employed them and owned the vehicle accountable. Taking action when dealership fraud affects your finances or transportation will give you a path to financial justice.