MANAGEMENT

BUISENESS MANAGEMENT

CUSTOMER SERVICE

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
A car salesman sold a car and did not tell the buyer about known defects. This is ____
A
ethical
B
unethical
C
Either A or B
D
None of the above
Explanation: 

Detailed explanation-1: -There is no duty, unfortunately, in Michigan, for the dealer to disclose anything about a used car whatsoever, except the odometer and the salvage title.

Detailed explanation-2: -Under the Texas Deceptive Trade Practices Act, it is unlawful for a seller to fail to disclose known defects, in order to induce you to make a purchase. In other words, if a seller knows of a major defect he must disclose it.

Detailed explanation-3: -As long as you disclose any known issues with your buyer, it’s not illegal to trade in a car with problems. In fact, you can’t hide much after a dealership inspects your current vehicle and assesses its value.

Detailed explanation-4: -It is illegal to sell a vehicle with a salvage title without disclosing it to the buyer. Unfortunately, many car salesmen still manage to sell salvage cars to buyers by removing the salvage title from the vehicle’s NMVTIS title or altering the car’s VIN number.

There is 1 question to complete.