Klein & Wilson

California Court of Appeals denies class-action in CarMax suit

In 2008, a woman bought a 2006 Saab 9-7X from one of the CarMax Auto Superstores in California. She put $1,100 down on the car with a personal check and traded in her 2006 Honda Civic. In addition, she signed a form that would authorize the "holding' of that check for five days to give her time to get the money in her checking account.

The woman's sales agreement with CarMax, though, didn't quite cover everything. The Honda was listed as "sold" to the dealership - not that she had made a trade-in with her purchase of the Saab. In addition, there was another sales agreement that showed down payment.

The woman filed a lawsuit against CarMax because there wasn't one sales agreement for the entire purchase and the dealership didn't disclose her down payment. She wanted the deal rescinded and also sought damages.

CarMax won the first go-around in a lower court, with the judge awarding the dealership more than $12,000 in attorney fees. CarMax alleged that the woman was simply trying to "gain a windfall" and that she understood everything about the sale.

The California Court of Appeals agreed with the lower court's ruling. In addition, the court did not grant class-action status in the case and ruled against the woman's claim that CarMax had violated unfair competition laws. The court ruled that the woman must pay for the dealership's attorney fees.

Business tort issues such as unfair competition can be quite complex. However, unfair competition can break a business. Business law attorneys can help a business owner understand all of the intricacies involved in such cases and work to ensure that a company's interests are protected.


Source: 
autonews.com, "Calif. ruling recognizes 1-year limit for finance law claims; dealers want precedent" Eric Freedman, Oct. 30, 2013

No Comments

Leave a comment
Comment Information
  1. RATED BY | Super Lawyers | Top 100 | Southern California | SuperLawyers.com
  2. Avvo Rating | 10.0 | SUperb | Top Attorney Litigation
  3. PREEMINENT AV | Martindale-Hubbell | PeerReviewRated
  4. RATED BY | Super Lawyers | Top 50 | Orange County | SuperLawyers.com
  5. Best Lawyers | BEST LAW FIRMS | U.S.NEWS | 2018
  6. KLEIN & WILSON | RECOGNIZED BY | Best Lawyers | 2019
  7. AMERICA'S TOP 100 | TOP 100 | ATTORNEYS
  8. The AMERICAN LAWYER
  9. AVVO Client's Choice | Award 2017
  10. OCTLA | Orange County | Trial Lawyers Association | Trial Lawyer Of The Year
  11. The National Trial Lawyers | Top 40 Under 40

Contact Our Attorneys Today

Please call the law office at 949-478-0521 or fill out the form below to arrange a consultation with a lawyer.

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

Get Started

Klein & Wilson
4770 Von Karman Avenue
Newport Beach, CA 92660

Phone: 949-478-0521
Fax: 949-631-3703
Newport Beach Law Office Map

Map
Firm Office