Examining Florida law meant to protect car buyers that hasn’t changed in 56 years

[00:00:01]Is a law designed to protect you outdated? One South Florida woman learned the hard way when a car deal goes bad. Florida law is supposed to protect consumers.

[00:00:10]>> But while the price of cars has changed dramatically, the law has remained virtually unchanged for more than a half century. Tonight, Local 10 investigator Jeff Weinsier explains what you need to know.

[00:00:23]The battery is dead. That Mazda sitting in Pamela Wright's driveway hasn't moved in 2 years. Not because it's broken, because legally she can't use it.

[00:00:33]>> And 2 years later, you have no title.

[00:00:35]>> I have no title.

[00:00:36]>> You can't register the car.

[00:00:38]>> I cannot register the car. I cannot insure the car. I cannot drive the car.

[00:00:42]I have no use for it more than it's sitting in my driveway.

[00:00:45]>> The 74-year-old retired realtor bought the car 2 years ago for her grandson who had just graduated high school and needed wheels to get to work. She paid just under $6,000 cash, but Wright never got the title to the car. She claims the dealership, Superior Car Sales, gave her the runaround. That dealership is now gone, leaving Wright stuck.

[00:01:10]>> I'm just like, "How can this happen?"

[00:01:13]>> Florida has a law that is supposed to protect you, the consumer. Every licensed dealership is required to hold a $25,000 bond to protect buyers if things go wrong. But in Wright's case, according to court records, there isn't enough money to go around. You see, 11 consumers are vying for and asserting claims against the very same dealership, meaning they're all competing for that one $25,000 bond.

[00:01:43]>> It's definitely outdated at this point.

[00:01:44]>> Josh Fagan is one of the very few attorneys who actually sues dealerships for a living.

[00:01:49]>> The average cost of a vehicle is much more than $25,000. It doesn't make sense that there's only a $25,000 pot to go after. 100% the legislation needs to look into it.

[00:01:58]>> Our research shows that $25,000 figure dates back to 1970.

[00:02:04]In 56 years, it hasn't changed. Richard Nixon was president. Gas was 36 cents a gallon.

[00:02:13]>> I've had many times where a client have gotten judgments against car dealership, went to apply against the bond, and there's no more funds left in the bond.

[00:02:20]So, yes, it happens quite often.

[00:02:21]>> Only one group has the power to change the law. That's the Florida legislature.

[00:02:25]So, we asked the very people who can fix it. We reached out to dozens of state lawmakers, Democrats, Republicans, senators, representatives asking one simple question. Is Florida's $25,000 dealer bond still enough to protect consumers today? Only two lawmakers responded. Representative Dan Daley told local 10 his office is reviewing whether Florida's current law is adequate and will evaluate the issue before next year's legislative session.

[00:02:59]Representative Darryl Campbell said he did not know enough about the issue to comment. The Florida Department of Highway Safety and Motor Vehicles licenses dealers and they enforce dealer laws. Have they ever recommended increasing the bond?

[00:03:15]Despite four separate requests since June 2nd, the department has never answered any questions. So, back to Pamela Wright's driveway where she has clearly hit a road block. If the court were to divide the $25,000 bond equally among all 11 people, each would receive just over $2,270.

[00:03:37]That's far less than what many say they have lost.

[00:03:42]>> State of Florida and the Attorney General office is telling me there is nothing they can do for me. All they do is just send me around in circle. I I call everywhere. The politician should do better. The governor need to step in.

[00:03:57]The attorney general office don't make no sense.

[00:04:00]>> Jeff Weinseer, Local 10 News.