Law

You read in the paper that a Used Motors will sell a Grey Honda Civic LX 2008 with a 3 year extended warranty to the first customer who asks for it after they open of their business on January 1, 2011 for $4,000, along with other great discounts to celebrate their 20th year in business. After camping out in front of the door, you rush to the salesperson who is unlocking their door and express your decision to purchase it. He tells you that it must be a typo, the car they meant to advertise was Honda Civic LX 2003, but that unfortunately they already sold it to someone who called 2 minutes prior. As a consolation, he offers you a Honda Civic LX 2005 for $4000. This still sounds like a great deal.

The salesperson tells you that Civics are very reliable cars and even a 2005 model “will serve you for a long time.”  You sign the paperwork where the car is listed as being sold “as is, for parts only.”  He explains to you that this is just a formality because it is a used car. Your first surprise comes when you fail to pass emissions. Then upon taking it to mechanic to check it out, he tells you that the car was apparently flood damaged and restored, that there are lots of things wrong with it and that he is afraid to even start fixing it, because it has been rigged up so bad. You go back to the dealer, who says that he knows nothing about either problem, but since the car was sold as is, it is not his problem. On the way back from the dealer, your brakes fail and you get in to a major accident.

Using both the concepts from this week and those from the previous section on Products Liability, respond to the following:

What theories of liability do you have against the dealer and why can the dealer be liable to you, based on the elements and factors involved with these legal theories? (In other words, what are the applicable elements and/or factors and how do they apply to the facts?)
What defenses would the dealer have against your theories of liability and why are these defenses available to the dealer? (In other words, what are the required elements and/or factors for these defenses and how do they apply to the facts in favor of the dealer?)

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