The problem must be significant.  However, the word “significant” like the word “beauty”, is often in the eye of  the beholder.  For instance, a piece of weather stripping or molding that has come loose is probably not a significant problem.  However, it may be a clue that a significant problem does exist.   

The Motor Vehicle Commission divides significant problems into two categories: 

1.  Safety issues and 2. Non safety issues.  Once again, these problems can vary.  A defective seat spring that pokes through the seat upholstery is probably a non safety defect in the rear or passenger seat.  However, if there is a defective seat spring in the drivers seat that distracts the driver while operating the vehicle, that may be a safety defect.  There is also a cumulative problem provision which involves 30 days out of service without a loaner car.

This is a very serious problem which may be an indication of even bigger problems.

The law requires the title to a used vehicle to be transferred immediately.  This is particularly so if you pay cash for the vehicle.  Never pay for the vehicle in full unless you receive the title at the same time or are at least given a chance to inspect the title.  The potential problems are serious.

            The law allows a car dealer twenty (20) working days to prepare and submit the application for certificate of title.  All fees collected from you should be paid by that time as well.  Car dealers sometimes run into problems with a title.  They could lose the original title, the person that sold the vehicle to the dealer may be late in delivering the title or even more sinister problems can occur.  A delayed title is often an indication of:

            a)            an odometer disclosure problem;

            b)            a wrecked or reconditioned vehicle;

            c)            a fraudulent title to a stolen vehicle; or

            d)            financial problems of the dealer. 

A licensed car dealer must post a bond with the State of Texas in the amount of $25,000.00.  The bond is to compensate anyone who buys a car from the dealer but does not receive a title or anyone who sells a car to the dealer but does not receive payment.  However, the $25,000.00 bond is often insufficient to cover more than a couple of transactions.  Act quickly because recovery on the bond is “first come- first served.”

You should consider contacting an attorney after you have attempted to resolve

the problem yourself.  Hopefully, your efforts to resolve the problem were made in writing.  If not, do so immediately or at least record your memory of the conversations on paper. 

Most disputes can be resolved either on your own or with minimal effort of an attorney.  However, these are some warning signs that probably require the assistance of an attorney:

a)      You learn that the vehicle had suffered serious damage in a prior collision but this was not told to you at the time you purchased the car;

b)      You have not received the title or the non negotiable certificate of title (pink slip) within forty five days after the sale;

c)      An authorized dealer refuses to honor the factory warranty because of a defect in the car prior to your ownership;

d)      The vehicle’s odometer has been altered;

e)      You have been asked to sign a revised Retail Installment Contract and other purchase documents under less favorable terms than your original transaction;

f)        Your vehicle has been repossessed even though you have made all of your payments to the lender (except for mechanic’s lien repossessions).