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New Mexico Franchise Dealer Found Liable for Selling Wreck Damaged Cars in Violation of New Mexico Law

Posted by David Humphreys | Dec 16, 2021 | 0 Comments

New Mexico Chevy Dealer Found Liable for Selling Wreck Damaged Cars in Violation of the Law

A Second Judicial District Court Judge granted a summary judgment today, finding that a New Mexico Chevrolet Dealer sold our client a used vehicle that had been wrecked. Further the dealer was legally required disclose the wreck damage using an affidavit form and that the dealer broke New Mexico law.

The Court also found that questions of fact existed and allowed the claim for punitive damages to go to a Jury. The case is set for trial starting January 28, 2020, in Albuquerque. We expect to be able to show, by calling other customers as witnesses, that the dealership has a pattern of selling wreck damaged vehicles to the general public, including infirm and financially unsophisticated members of the Navajo Nation.

The Court also denied the efforts by the Chevy dealer to prevent the jury from hearing about the distress, inconvenience and hassle it caused our client. 

The Court found "It is undisputed that Defendant here did not provide the affidavit required by Section 57- 12-6. In fact, Defendant admits in response to Plaintiff's Motion that “an Affidavit was required.” See Defendant's Response at 3. See also id. at 7 (“The $2,756.49 of repaired damages to the ‘body' of the Fusion was greater than six percent (6%) of the sale price and thus required Defendant [to] disclose by affidavit pursuant to NMSA § 57-12-6 (B)—(C) and 12.2.14.7(B), 12.2.14.8 NMAC.”).

New Mexico Jury to Determine Damages

We look forward to an impartial jury determining that the dealership engaged in a willful violation of New Mexico's Unfair Practices Act, committed fraud and a verdict determining fair compensation and punitive damages to hopefully end this illegal business practice. 

About the Author

David Humphreys

David Humphreys has been practicing law since 1987. He was a member of the first class (1994) of the Gerry Spence Trial Lawyers College, Dubois, Wyoming. He was recognized in 2004 by the college, along with his partner, Luke Wallace, as the Warriors of the Year for the 18-state South Central regi...

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