Ethical dilemma of re-selling a lemon car: Is it fair to the buyer?

I can't help ponder the moral dilemma - when you sell a lemon doesn't the buyer get the short end of the stick?

BHPian MadinMumbai recently shared this with other enthusiasts.

Lemons are a part of life. If you are unfortunate enough to get one it can be quite frustrating. Often these are discussed here and invariably the advise is to sell the lemon and move on.

I can't help ponder the moral dilemma - when you sell a lemon doesn't the buyer get the short end of the stick? Or does the buyer, because it's a second sale, and possibly a lower set of expectations, factor in the compromised product? Does one tell the prospective buyer about the problems s/he are about to adopt? Of course everyone has their own take on morality, but is there a fair practice or are no rules applicable? It would be fascinating to know how people deal with this particular type of misfortune.

Here's what BHPian raptor_diwan had to say on the matter:

What's considered a lemon to us may not necessarily be the same for others. Here's my personal experience to this point.

Few years ago, I purchased an Interceptor with high hopes, but soon noticed troubling signs such as engine noise and gear issues. Despite consulting mechanics who dismissed these concerns as normal, I couldn't shake the feeling that something was amiss. Dissatisfied with the vehicle, I found myself avoiding rides and preferring my other bikes ( Dominar ). Eventually, I made the decision to sell the bike.

I felt there was an issue with the engine, and I didn't like the vehicle. It always felt like I was riding a repaired product. I posted it on fb Marketplace, and a guy, a college student, reached out. He was passionate about motorcycles and seemed to have a collection of vehicles. I told him engine noise is there like timing chain issue or tappet adjustment kind but it is nothing to worry about, He wanted to test drive. During the test drive, he noticed something off with the engine, and the mechanic he brought along identified the issue and assured him it could be fixed. He relayed the problem to me, and I shared my concerns as well. In fairness, I dropped the price significantly for him.

Overpricing a defective product without disclosing its issues would indeed be considered unfair and unethical. In this case, after disclosing the problem and adjusting the price accordingly, the deal was closed fairly. The buyer took the vehicle, fought with the RE service center, and claimed warranty with my assistance and replaced some parts & he fixed the issue ( Which I coudln't do, I didnt have enough time in my hand to visit service centre every now & then ) but for him it was a hobbie and he is happy on working on such issues and He has more and more time on his hands.

Now, he's enjoying the bike on numerous long rides, fulfilling the dreams I once had. Riding to the destinations like Chennai to Goa, Mumbai, and Siliguri. His WhatsApp status reflects his genuine love for the bike. However, for me, the situation was quite the opposite. I couldn't find any joy in riding this particular bike; instead, it caused me irritation every time I took it out.

This experience taught me a valuable lesson - what may seem like a lemon to one person can hold untapped happiness for another.

In the end, fairness and honesty ensure that both parties can find satisfaction in their transactions.

Here's what BHPian Asoon had to say on the matter:

Every thing has a price and a product at multiple conditions during its life stage becomes attractive to different set of customer cohorts depending on their perceived value vs the price it is offered to them

For example - If person X is paying 40L for a used Fortuner (lets say 2022 model) he would expect it to be in pristine condition with not loose ends, but if the price is 30L (2022 fortuner) then torn seats, couple of dents, silencer with holes is ok, if the price is 20L (2022 fortuner) then structural damage from the rear side (dicky) is acceptable (in repaised state), and if the price is 12L then structural damage in A or B or C pillar is ok and you will find buyer who can pay for a Total loss Car. Alteast you will definitely find X, Y , Z buyer at each state and price point

Here's what BHPian anjanc_2007 had to say on the matter:

Yes lemons are in many cases inevitable and those "cursed owners" who feel they own a lemon, can always advertise it on any media as for sale.

However, concealing the defects from the buyer is unethical. And a price cut based on how sour the lemon is, for awareness of the buyer should be the norm.

Lemon sellers who are unethical and think they have fooled someone could be in for an unpleasant surprise when some upright buyer sends a court's notice for compensation.

Here's what BHPian ajmat had to say on the matter:

I have owned two lemons

A Tata Sierra - kept breaking down. I ensured it was in proper working condition without any faults although anything could happen Sold it via a dealer who was playing dirty so I guess the car took revenge.

Skoda Octavia vRS - It had niggles, kept throwing an engine check light now and then. Agreed to a sale which took a while. I actually identified and resolved the fault during this period and it started running sweeter than when I owned it. The only fault was the climate control which would not blow hot air which I disclosed.

My take is - selling a lemon in proper working order, disclose all faults if any but dont play fortune teller. If you cannot sell in working order, be upfront and expect a haircut.

Ensure you solve or disclose a fault.

I also sold a 90k Swift in good condition with full service history. Unfortunately, 3 months later, it needed an engine rebuild. I felt sorry for the person but he accepted it was bad luck

Here's what BHPian SmartCat had to say on the matter:

Not worth thinking too much about this. Sell to Cars24 or Spinny and just be done with it. Disclose the problems you have faced (they will ask) and take the lower price offered.

When we call a car a lemon, it just means the authorized service center could not identify & fix the problem(s). But hypothetically, replacing the correct components will fix any car problem. Now if somebody like Cars24/Spinny is making an offer despite your disclosure, it probably means they have reasonable confidence to fix the problems to a large extent

Here's what BHPian DudewithFiat had to say on the matter:

I was once sold a lemon by, of all the people, a BHPian and, of all the cars, a 2006 Toyota Corolla. I had bought the car, paid slightly above market rate, without seeing the car for two reasons:

1) It was a BHPian in a respectable profession, with whom I had exchanged lots of messages over WhatsApp, though never met. I trusted the guy.

2) It was a Toyota.

The car was dropped to my place by his driver. AC was very weak from Day One of my ownership. The previous owner apparently didn't maintain the car very well. The car itself kept running, but niggles kept appearing (power windows, locks, wiper etc).

It wasn't a very enjoyable ownership and finally I decided to sell the car and posted the car in OLX.

1) One young guy had come to buy the car. I told him of the issues, who was okay to buy it, but didn't have the heart to sell it to him because he wouldn't have afforded fixing all the issues.

2) Then, I sold it to a colleague with a full disclosure of the history and issues. It was obviously sold at a price below the ongoing market price of a Corolla.

Read BHPian comments for more insights and information.