CARFAX claim before new vehicle sold?

Anyone ever seen or experienced this?

A colleague purchased a brand new BMW X3 from a local dealership in 2019. No issues other than the turn signals don't work properly. Fast forward to this week, she wanted to trade in or sell the vehicle.

CARFAX was pulled and it shows an INCIDENT and REPAIR estimate for $11,500.00 on the right front corner 3 MONTHS before she bought the vehicle new. It just shows the incident and estimate.

This really sounds like the vehicle was damaged while in delivery to the dealer and then sold as new. It's also possible that the CARFAX has an error.

Two questions:

1. Does a dealer need to disclose that a new vehicle was damaged and repaired prior sale?
   
   
2. What is the likelihood of a CARFAX error?

Thanks!

 

Thanks. And I can confirm the vehicle was sold as new and not a demo.

 

Man, I don't know what the law says but if they didn't disclose that I would be so pissed. That's so unethical.

 

I had a dealership try to sell me a damaged truck, which they didn't tell me about until I was signing the final paperwork. That makes me think they're legally obligated to disclose it here in Canada.

 

Just heard a story last week about how dealers are notorious for selling vehicles on the lot quickly before insurance generates a new CarFax report listing any damage from a vehicle. It takes 2-3 months for CarFax to be flagged. Making matters worse, CarFax is only valuable IF insurance is reported. So a dealer and any private party can get the work completed without insurance and CarFax is never notified. Your only real safe bet is taking any car you want to buy to a body shop and have them go over it. I am done trusting CarFax.

 

I hear you. CarMax is notorious for taking low mileage fleet cars and trucks that have decent amounts of damage and getting cheap bodywork done on them and flipping them. I hate the whole process.

 

I agree, but in this case it's $11k and the dealer is now wanting to take over $5k off her trade in value because of it.

 

Hopefully someone will just say sorry and try to make it right. If not, litigation may become necessary.

 

well broken in

 

I found this out too on my Tundra... stealership had an onsite body shop and according to Cali regs, less than $500 they don't have to tell you... no carfax that I know of, but was on the truck's Toyota service record, why would you pull it if it's new, well this is why.. I've had a variety of issues on it so my "new" experience may be slanted: driver seat had issues, driver side door rubbed on the dash, driver side rear door had plastic screws missing, and paint peeled on the driver side bedside which had to be repainted at 1 year old, along with electrical issues that may or may not be related to battery and weather related... just my .02 cents.