Case Study

Dealerships sometimes find themselves targeted by consumers and their lawyers seeking to reopen previously settled cases. However, with the right legal support, dealerships can effectively fight back against certain claims. This article highlights a real-life scenario where a dealer, supported by Auto Legal Group, successfully defended against a claim using a previously prepared and signed settlement agreement.

Upholding Settlement Agreements and Protecting Dealerships

Recently, a dealer who is a member of ALG encountered a demand letter from a consumer lawyer. Surprisingly, it turned out that the consumer had approached the dealer about a dispute almost two years prior. Recognizing the potential legal risks, the dealer promptly contacted ALG attorneys, disclosing the details of the dispute and the mutually agreed-upon resolution between the customer and the dealer.

ALG's Role in the Settlement Agreement

In response to the dealer's request for assistance, ALG's legal team swiftly took action. As part of their ALG membership, ALG attorneys prepared a customized settlement agreement tailored to the dealer's specific needs.

The Power of a Customized Settlement Agreement

When the Consumer Legal Remedies Act (CLRA) demand letter arrived, the dealer was well-prepared. Armed with the settlement agreement facilitated by ALG, the dealership promptly responded, providing a copy of the agreement to the opposing counsel. The immediate submission of the settlement agreement proved to be a game-changer. Recognizing the legitimacy of the agreement, the opposing counsel promptly withdrew their claim and dropped the case.

The Significance of Proactive Legal Support

This case serves as a testament to the critical role ALG plays in protecting dealerships against certain types of false claims and predatory litigation. By offering its experience, ALG provides dealerships with comprehensive legal support when navigating legal challenges.

Remember, the road to success is paved with legal protection. With ALG, dealerships can confidently navigate many legal challenges that come their way.