The very nature of the auto broker side of the business dictates that the sales transaction needs to take place between a retail car dealer and a buyer. The auto broker helps source the vehicle to be purchased but never actually buys or sells the car or truck. So how could an auto broker be found liable for doing nothing more than making the introductions between buyer and seller?
The honest answer here is that there is not much exposure to auto brokers but dealer insurance is still a must if you want to sleep at night. Imagine that you arrange a buyer with a seller and a purchase is made! You get paid and you move on to the next transaction to set up. Now imagine that the sale that you arranged goes south for some reason and the buyer sues the dealership.
There isn’t a lawyer practicing law in the state of California that would hesitate for a minute from naming you in the suit since you were paid for your services.
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