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Undisclosed Rental Car History
- Increased Cost of Maintenance:
Used rental vehicles often undergo heavy wear and tear due to frequent use by multiple drivers. As a result, they may require more frequent maintenance and repairs compared to non-rental vehicles. This can significantly increase the overall cost of ownership for the unsuspecting buyer.
- Increased Chance of Odometer Tampering:
Rental cars are often subjected to higher mileage than typical privately-owned vehicles. This makes them prime targets for odometer tampering, where unscrupulous sellers may roll back the odometer to make the vehicle appear to have lower mileage than it actually does. Purchasing a vehicle with tampered odometer readings can lead to inaccurate maintenance schedules and potential safety hazards.
- Increased Chance of Undisclosed Accident Damage:
Rental vehicles are frequently driven by various individuals, increasing the likelihood of accidents and damage. Unfortunately, not all accidents are properly disclosed when rental vehicles are resold. As a result, buyers may unknowingly purchase a vehicle with a history of significant damage, leading to safety concerns and decreased resale value.
- Impact on Resale or Trade-In Value:
The rental car history of a vehicle can significantly impact its resale or trade-in value. Many consumers are wary of purchasing used rental vehicles due to concerns about their maintenance, accident history, and overall condition. As a result, vehicles with prior rental history may command lower prices in the resale market, leading to financial losses for the owner.
- Must a Dealership Disclose Prior Rental Car History?
In Florida, dealerships are required to disclose certain information about the history of a used vehicle to potential buyers. Pursuant to Florida Statute 319.14, a dealership must disclose that a vehicle was previously used as a short-term lease vehicle. The disclosure must be provided in writing prior to the sale.
- What Can a Consumer Do if a Dealership Fails to Disclose Rental Car History?
If a dealership fails to disclose that a vehicle was previously used as a short-term lease vehicle, a consumer is entitled to damages for the difference in value between the price they paid and the value of a rental car. This can be anywhere from 10% to 40% of the vehicle’s value. In some cases, the consumer may be entitled to recover the entire purchase price of the vehicle. In addition, in some circumstances, the consumer could be entitled to up to $10,000 in statutory damages.