Oh, the times I’ve gotten panicked phone calls from people who exclaim: “I sold a car to someone and now they’re threatening to sue me! What do I do?” First: Don’t Panic.

Three of you will get that. As for everyone else, most threats don’t go farther than the threat stage. But if you ran an honest ad and didn’t do anything too crazy during the sale, you should be fine even if you are sued.

I’d suspect that about 1% of all threats such as these turn into actual lawsuits. And of those, most are in small claims. Dress nice, show up and explain to the judge how you just sold a car and the buyer is over reaching.

On the off-chance that they actually sue you with an actual attorney in regular court then yes, you may have to hire an attorney and defend it. You’ll probably still win but it might cost you. The good news is that these situations (where the car was simply sold as-is without any promises or outright provable objective lies by the seller) usually go well for the seller.


I explain it all in this week’s podcast. The audio:


And the video:

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Steve Lehto has been practicing law for 25 years, almost exclusively in consumer protection and Michigan lemon law. He wrote The Lemon Law Bible and Preston Tucker and His Battle to Build the Car of Tomorrow.


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