The class action complaint was brought to “remedy BMW’s corporate policy of improperly selling demonstration vehicles (“demos”) as new, which results in Plaintiff and Class members being cheated out of valuable warranty coverage for their BMW automobiles.”
BMW provides an express warranty with four years of no cost maintenance and repair. According to BMW, this means that consumers pay for “nothing but gas and tires.” However, BMW also has a corporate policy that requires its dealerships to purchase thousands of demo vehicles to bolster BMW sales numbers. The result is that dealer floors are flooded with demo cars that BMW directs its dealerships to sell as new without disclosure of this fact to consumers.
As alleged, BMW’s corporate policy of selling demo vehicles as new causes Plaintiff and the putative Class herein direct pecuniary loss because BMW’s warranty begins to accrue on the date of sale to a consumer for new cars, but on the date of sale to a dealer for demo cars. When demo vehicles are sold as “new” to unsuspecting consumers, they necessarily come with less than four years of the warranty coverage promised by BMW.
Class: All consumers within the United States, who at any time after September 28, 2006, purchased a BMW demonstration vehicle that was identified in the contract of sale as “new.”
Read the complaint: Complaint