Corey D. McGaha PLLC is pleased to announce a significant legal victory for our clients, Justin Lee and Devin White, in a recent judgment awarded by the Circuit Court of Arkansas County. Our clients have successfully secured restitution for financial damages resulting from deceptive practices conducted by Brooks Autoplex Corporation. Below is a breakdown of the court’s findings and awards.

Background of the Case

In this case, our clients, Justin Lee and Devin White, purchased a 2010 Honda Accord from Brooks Autoplex Corporation, expecting to receive a vehicle with a clear and transferable title. However, they discovered that a Title Suspense Notice was issued prior to the sale, rendering the title transfer incomplete and invalid. Despite due diligence, our clients were misled and subjected to numerous violations of state and federal laws that protect consumers in vehicle transactions.

Key Findings of the Court

The judgment outlined four main areas of legal violation:

Uniform Commercial Code Violation:

The court determined that Brooks Autoplex breached the implied warranty of title under the Arkansas Uniform Commercial Code by failing to provide clear title for the vehicle. This breach was not based on any agreement but rather an implicit warranty required by law.

Magnusson-Moss Warranty Act Violation:

The Magnusson-Moss Warranty Act mandates clear title transfers for consumer products, which Brooks Autoplex failed to provide, thus breaching both state and federal warranty standards.
Deceit and Fraud:

The court found substantial evidence of deceit, citing Brooks Autoplex’s intentional misrepresentation regarding the status of the vehicle’s title, knowing it was not clear. This act was ruled fraudulent, as it induced our clients to rely on false assurances to proceed with the purchase.

Arkansas Deceptive Trade Practices Act Violation:

The court found Brooks Autoplex to be in violation of the Arkansas Deceptive Trade Practices Act by intentionally concealing the title status, which constitutes deceptive and unconscionable conduct under state law.

Court’s Awards and Remedies

The judgment rendered a comprehensive package of relief to compensate our clients and deter further misconduct by Brooks Autoplex:

Revocation of Acceptance and Cancellation of Sale: Our clients’ purchase contract for the vehicle was effectively canceled. This allows our clients to be reimbursed and alleviates them from any further obligations associated with the defective sale.

Actual Damages: The court awarded $1,000 in actual damages to cover the down payment our clients initially made toward the purchase.

Punitive Damages: To penalize Brooks Autoplex for its egregious conduct, the court awarded $9,000 in punitive damages, reinforcing the message that deceptive trade practices will be met with significant financial consequences.

Attorney Fees and Court Costs: Recognizing the time, expertise, and dedication required, the court awarded $6,240 in attorney fees and $327.50 in court costs to cover the financial burden borne by our clients during this process.

Conclusion and Takeaways

The total judgment, including all damages and costs, amounts to $16,567.50, which will accrue post-judgment interest. This judgment underscores the commitment of Corey D. McGaha PLLC to advocate on behalf of our clients and hold businesses accountable for unethical practices. We are proud of the court’s recognition of the injustice faced by our clients and the strong stance taken to uphold consumer rights.

If you believe you have been a victim of unfair or deceptive trade practices, please contact Corey D. McGaha PLLC. We are here to ensure justice is served, and your rights are protected.