Car Dealer Scammed You? California Demand Letter for Auto Dealer Fraud & Bait-and-Switch

DEMAND FOR COMPENSATION - AUTO DEALER FRAUD / CLRA NOTICE [Your Name] [Your Address] [City, CA ZIP] [Phone] [Email] [Date] VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED [Dealership Name] [Dealership Address] [City, CA ZIP] Re: Demand for Compensation - Dealer Fraud / CLRA Violation Vehicle: [Year Make Model] VIN: [Vehicle Identification Number] Purchase Date: [Date of Purchase] Contract/Deal Number: [If available] Dear [Dealership Name / General Manager]: THIS LETTER CONSTITUTES NOTICE PURSUANT TO CALIFORNIA CIVIL CODE SECTION 1782 (CONSUMER LEGAL REMEDIES ACT) I am writing to demand compensation for damages resulting from fraudulent and deceptive practices in connection with my purchase of the above-referenced vehicle from your dealership. FACTS: 1. On [Purchase Date], I purchased a [Year Make Model], VIN [VIN], from your dealership for a total price of $[Total Price]. 2. [Describe the fraud/misrepresentation in detail. Examples:] [FOR BAIT-AND-SWITCH:] Your dealership advertised this vehicle at a price of $[Advertised Price] on [Website/Platform]. When I arrived to purchase the vehicle, your sales staff claimed [the car was sold / additional fees applied / different terms required] and pressured me into paying $[Actual Price] - a difference of $[Difference]. [FOR YO-YO FINANCING:] I signed a retail installment contract and took delivery of the vehicle on [Date]. On [Date of Callback], your dealership contacted me claiming the financing had "fallen through" and demanded I return to sign a new contract with [higher interest rate / larger down payment / different terms]. This "spot delivery" scam is an unlawful practice. [FOR HIDDEN FEES:] The final contract included undisclosed charges totaling $[Amount], including: [list fees - e.g., inflated doc fee, dealer add-ons, accessories never requested]. These fees were not disclosed in the advertised price and were added without my informed consent. [FOR MISREPRESENTATION:] Your dealership represented that this vehicle [had no accident history / was not a salvage title / had accurate mileage / had no frame damage]. I have since discovered that [describe what you discovered - e.g., "the vehicle has a salvage title" / "the CarFax shows 3 prior accidents" / "the odometer was rolled back"]. This material fact was concealed from me at time of purchase. VIOLATIONS OF LAW: Your conduct violates multiple California statutes: 1. Vehicle Code Section 11713 - Dealer misconduct including [false statements / bait-and-switch / failure to honor advertised price] 2. Consumer Legal Remedies Act (Civil Code 1750-1784) - Specifically Section 1770(a), prohibiting: [Select applicable subsections:] - (5) Representing goods have characteristics they do not have - (7) Representing goods are of a particular quality when they are not - (9) Advertising goods with intent not to sell as advertised - (14) Representing a transaction involves rights it does not involve - (16) Representing the subject of a transaction has been supplied in accordance with a previous representation when it has not 3. Civil Code Section 1572 - Fraud through intentional misrepresentation and/or concealment of material facts 4. Business & Professions Code Section 17200 - Unfair and fraudulent business practices 5. Rees-Levering Act (Civil Code 2981-2984.6) - Violations of motor vehicle retail installment sales requirements DAMAGES: As a direct result of your fraudulent conduct, I have suffered the following damages: [Price difference / overcharge]: $[Amount] [Hidden fees paid]: $[Amount] [Diminished vehicle value]: $[Amount] [Additional financing costs]: $[Amount] [Other documented damages]: $[Amount] ACTUAL DAMAGES SUBTOTAL: $[Subtotal] CLRA Statutory Damages: $5,000.00 TOTAL DEMAND: $[Total] [IF SEEKING RESCISSION, ADD:] ALTERNATIVE DEMAND - RESCISSION: In the alternative, I demand full rescission of this transaction pursuant to Civil Code 1689 and 1572, including: - Return of my down payment: $[Amount] - Return of all monthly payments made: $[Amount] - Return of trade-in vehicle value: $[Amount] - Cancellation of any financing contract Upon receipt of the above, I will return the vehicle to your dealership. DEMAND: Pursuant to Civil Code Section 1782, I am providing you with this notice and demand that you: 1. Pay the damages identified above within thirty (30) days; OR 2. Agree to rescission of the transaction with full refund within thirty (30) days If you fail to respond satisfactorily within 30 days, I will pursue all available legal remedies including: - Filing suit under the CLRA for actual damages, statutory damages, punitive damages, and attorney fees - Filing suit for common law fraud seeking treble damages - Filing a complaint with the California DMV Investigations Unit (potential license suspension/revocation) - Filing a complaint with the California Attorney General - Filing a complaint with the Federal Trade Commission I am prepared to resolve this matter without litigation if you act promptly and in good faith. Please contact me at [Phone/Email] to discuss resolution. Sincerely, _______________________________ [Your Signature] [Your Printed Name] Enclosures: - Copy of purchase contract / retail installment agreement - Copy of advertisement showing original price (if applicable) - CarFax or AutoCheck vehicle history report - Photographs of [damage / odometer / title] - Communications with dealership - [Other supporting documents] cc: California DMV Investigations Unit California Attorney General (if filing complaint) [Your attorney, if applicable]