Buying a car should, in theory, be a fairly straightforward process. Unfortunately, this is not always the case, and when a dealership lies about a vehicle, adds fees that a consumer never agreed to, or changes the terms of a deal at the last moment, it can be difficult to know where to turn. Many consumers wonder if there is a government agency that will accept complaints against car dealers. The answer is yes, as we discuss in this article. But in our experience, the best way to assert your rights against a car dealership is to hire your own private attorney, like the attorneys here at Feferman, Warren & Mattison. There is no government agency that will represent individuals, and a private lawsuit is much more likely to result in a strong outcome for a consumer.

In New Mexico, car dealer oversight is divided between the New Mexico Motor Vehicle Division, the New Mexico Department of Justice, and, in certain cases, federal agencies. Here are some of the questions you may have:

Which State Agency Licenses New Mexico Car Dealers?

The New Mexico Motor Vehicle Division, commonly referred to as the MVD, is the primary state agency responsible for licensing car dealers. More specifically, these matters are generally handled by the MVD’s Dealer Licensing Bureau. Some of the primary responsibilities of the Dealer Licensing Bureau are as follows:

  • Reviewing dealer license applications and renewals
  • Monitoring compliance with dealer licensing requirements, including bonds
  • Accepting complaints involving dealerships

If you believe that a dealership has violated its licensing responsibilities, you can submit an automotive industry complaint through the New Mexico MVD. Depending on the circumstances surrounding the complaint, the MVD may investigate whether the dealership violated New Mexico’s dealer licensing rules.

That being said, you should note that the MVD does not function as your personal attorney. Though filing a complaint may alert the state to potential misconduct, it may not, by itself, result in you recovering the money you lost.

How Does the New Mexico Department of Justice Oversee Dealers?

The New Mexico Department of Justice also plays a significant role in overseeing how dealerships treat consumers. The DOJ receives complaints, investigates suspected violations, and may bring enforcement actions against businesses that engage in unfair or deceptive practices. For example, the department may become involved in matters concerning the following:

  • Deceptive or unconscionable trade practices
  • Failure to disclose the history of a vehicle
  • Deceptive advertising
  • Misconduct in the repair of motor vehicles
  • Other unfair vehicle sales tactics

The DOJ enforces the New Mexico Unfair Practices Act, along with other consumer protection laws and regulations concerning the advertising and sale of motor vehicles.

Consumers can report suspected wrongdoing through the department’s complaint submission system. However, filing a complaint does not mean that the DOJ will take on the consumer’s individual case. As attorney Nicholas H. Mattison explains, “Many consumers believe that government agencies are representing them and will resolve their complaint. This is simply not true. In some cases, such as some federal consumer agencies, the agency will not even bother to respond. In others, the agency may try to mediate, but is not empowered to act aggressively on the consumer’s behalf.”

What Should I Do if I’m Taken Advantage of by a Dealer?

If you believe you have been the victim of car dealer fraud, the timing of your conversation with an attorney can make a difference. Mattison advises, “The earlier a consumer can talk to an attorney, the better. Rather than taking certain steps, the consumer should talk to an attorney before doing anything else. The further along we get a case—including, in the worst case, the consumer filing their own lawsuit pro se—the less we can do in many cases.”

Once you have spoken with an attorney, they can advise you on the records to gather and preserve from your purchase, lease, trade-in, or financing arrangement. Car dealer fraud cases are often document-heavy, and the paperwork you kept may ultimately demonstrate that the dealership’s promises were different from the agreement you were given. Some of the most important types of evidence can include the following:

  • Purchase or lease agreements
  • Loan and financing documents
  • Advertisements and online vehicle listings
  • Vehicle history reports
  • Repair estimates and inspection records
  • Emails, text messages, and voicemails
  • Receipts for deposits, fees, warranties, or add-ons
  • Photographs and videos of vehicle defects

You should also create a timeline for your attorney explaining what happened, who you spoke with, what you were promised, and when you first discovered the problem. As long as the details remain fresh, writing them down can help ensure that important facts are not forgotten later on.

While filing a complaint with the appropriate agency may or may not be helpful, it is not a substitute for speaking with an attorney. If you believe a dealer lied about a vehicle, manipulated your financing, hid serious defects, or added charges without permission, the most important thing you can do is reach out to an experienced New Mexico consumer lawyer who can help you fight for the justice you deserve.

If you have additional questions or would like to speak with an attorney about your case, contact Feferman, Warren & Mattison for a free initial consultation today.