Is it legal for a motorcycle dealership to sell me a motorcycle that has been considered a total loss by an insurance company? They did not disclose this information when they sold me the bike. The internet report I got shows it was a total loss twice by two different insurance companies on two separate dates.
1 Answer from Attorneys
There would be a potential fraud claim against the dealership if it knew of this information and failed to disclose it. This assumes that you didn't see the internet report you mentioned before you bought the bike. If not, the dealership could be liable under Iowa's private consumer fraud act, Iowa Code Chapter 714H, if you can prove that it knew about the bike's accident history. The private consumer fraud law allows you an opportunity to recover actual damages (usually the difference in value between the bike as it was represented and what you actually received), triple damages equal to three times the amount of actual damages, and attorney fees. Please feel free to contact me if you'd like to discuss this further.
Harley C. Erbe
ERBE LAW FIRM
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