Hidden Mileage Scam Unravels: Court Cancels Car Deal, Orders Dh215,000 Refund

An Abu Dhabi court has annulled the sale of a luxury vehicle after discovering that its odometer had been tampered with, ordering the sellers to refund the buyer Dh215,000 in full in a ruling underscoring the UAE’s zero-tolerance approach towards fraud and deception in vehicle transactions.

The Al Ain Civil, Commercial and Administrative Court ruled in favour of the buyer after a court-appointed technical expert confirmed that the vehicle’s recorded mileage had been illegally reduced by 68,290 kilometres before the sale.

The dispute arose after the plaintiff purchased the car in November last year from a woman through her son, who acted on her behalf during the transaction. Shortly after completing the purchase, the buyer began suspecting irregularities in the vehicle’s mileage records and later discovered that the odometer had been manipulated.

After the sellers allegedly refused to return the money, the buyer filed a lawsuit seeking cancellation of the sales contract, recovery of the Dh215,000 purchase amount, and Dh35,000 in compensation for material and moral damages. He also requested the appointment of a technical expert to inspect the vehicle.

In the report submitted before the court, the expert concluded that the odometer had indeed been altered to display a significantly lower mileage than the vehicle had actually travelled. The expert described the manipulation as a “hidden defect” that could not have been detected through ordinary visual inspection or the standard vehicle checks conducted by traffic authorities, and could only be uncovered through specialised technical examination.

The court observed that while the defect did not impair the vehicle’s operational performance or prevent it from serving its intended purpose, it substantially diminished the car’s market value and affected the integrity of the transaction.

During the proceedings, the defendant argued that the vehicle had undergone inspection at the dealership three days before the sale agreement was signed and claimed to possess supporting documents. However, the court ultimately accepted the findings of the technical report.

The court ordered the cancellation of the sale contract, directed the defendants to refund the entire purchase amount to the buyer, and instructed them to repossess the vehicle. It also ordered the defendants to bear the legal costs of the case along with Dh300 in legal expenses.

However, the court rejected the buyer’s separate claim for compensation, stating that he had failed to provide sufficient evidence proving that he suffered material or moral damages directly resulting from the defendants’ actions. The compensation claim was therefore dismissed for lack of legal basis.

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