Car dealerships play a critical role in vehicle financing, but that role comes with legal responsibilities. When dealerships ignore those responsibilities and take shortcuts, the consequences can be serious.
Licznerski Law, PLLC recently resolved a wrongful repossession case involving a car dealership’s direct involvement in the unlawful seizure of a consumer’s vehicle. The case settled for $50,000.
What Happened
Our client purchased a vehicle through a dealership that was involved in the financing and post-sale handling of the account. Despite the fact that the client was not in default and had not even reached the first payment due date, the vehicle was repossessed from the client’s private driveway.
The repossession occurred at night and was carried out in a covert manner, without notice and without any effort to confirm the status of the account. The client was home at the time, yet no attempt was made to communicate or avoid a breach of the peace.
Evidence showed that the dealership played an active role in initiating or facilitating the repossession, including communicating with third parties and failing to ensure that legal requirements were met before the vehicle was taken.
Why Dealership Involvement Matters
Many consumers assume that only banks or lenders can be responsible for repossession misconduct. That is not true.
Car dealerships can be held liable when they:
- Initiate or authorize a repossession
- Provide inaccurate account information
- Fail to verify whether a buyer is actually in default
- Use third-party tow or repossession companies improperly
- Ignore notice requirements under Florida law
When a dealership participates in or causes a wrongful repossession, it can face liability under Florida’s Uniform Commercial Code, consumer protection statutes, and common-law claims such as conversion and trespass.
The Outcome
After aggressive litigation and discovery, the defendants agreed to a $50,000 settlement, compensating our client for the wrongful taking of the vehicle and the harm caused by the dealership’s actions.
A Warning to Dealerships — and a Message to Consumers
This case serves as a clear warning: dealerships cannot wash their hands of repossession activity by pointing to lenders or tow companies. If a dealership helps set a wrongful repossession in motion, it can be held accountable.
For consumers, the takeaway is equally important. If your vehicle was taken before you were in default, without notice, or in a manner that felt secretive or aggressive, you may have significant legal rights.
Licznerski Law, PLLC regularly handles cases involving wrongful repossessions and unlawful dealership practices. When dealerships cross the line, we are prepared to hold them accountable.