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The Car Dealer Sold What Would Likely Be A Totaled Vehicle As A Road Worthy Non-accidental Vehicle

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Location: Ontario, Canada

My brother-in-law bought a used vehicle from a dealership back in Nov 2025 showing a clean carfax report (as of Oct 2025) for about $26k. The dealership had bought this vehicle at an auction.

Yesterday, he received a call from his dealership that the Auction house folks conducted an investigation and found out that the vehicle in question had actually sustained significant damage (worth about $17.5k) at a (previous) dealership who fixed the damages and sent it to the Auction house.

Now, my brother-in-law’s dealership is offering him a loaner car while they investigate the damages on their own, and to discuss further options including possibly buying another car from them.

My brother-in-law is nervous to drive this car (and rightly so). What I’m wondering is - what are his options? How should he go about 1) loaner car terms 2) bank payments while the car is at the dealership 3) options he should consider and anything that doesn’t come to our mind. Should he consider reaching out to a lawyer? Any advice is much appreciated.

submitted by /u/Independent-Cry1564
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