Is it illegal for a private party to sell a car under false pretenses?

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Is it illegal for a private party to sell a car under false pretenses?

I bought a car from a private party who told me that the title was clear and the tags were current. I brought the car to the DMV to register it, and was informed that it has a totaled title, no tags, and the wrong plates. Is this sale illegal?

Asked on November 15, 2010 under General Practice, Oregon

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 13 years ago | Contributor

Any sale based on intentional, knowingly made material misrepresentations or lies--where material means something important, such as whether a car has clear title--is one that the buyer could potentially void, which means essentially rescind or cancel. To do so, the buyer would have to bring a legal action--sue to reverse the sale. The buyer could also--either in addition to or in lieu of--sue for monetary damages or compensation, such as the difference in value between the car as is and what he thought he was getting. And if the buyer feels sufficiently ill-treated and that this was actually criminal fraud, the buyer could also report the matter to the police, which, if htey took it separately, wouldn't help get money back, but might get justice. To pursue civil remedies, such as damages or rescinding the contract, a lawyer would be invaluable.


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