There are many companies in Florida and across the nation that have reached an agreement to allow another entity to sell their products. In this contract, a company may wish to set clear terms as to how the other company will pay for services rendered, and should this party fail to uphold its end of the bargain, the other party may choose to take steps to recover its losses. Ford Motor Credit has recently filed a breach of contract lawsuit against an auto group after claiming the dealership failed to provide restitution after selling vehicles out of trust.
Ford Motor Credit says it became aware of the incident when one of the dealerships in the arrangement became the subject of an audit. During the audit, Ford allegedly found out the dealership had been selling vehicles without its knowledge, and without providing Ford with the necessary compensation. The company asserts that the group attempted to cheat the system by obtaining double financing for each vehicle through fraudulent means.
Ford asserts that the audit revealed that the auto group had used this fraudulent method to sell as many as 185 vehicles. The company also claims that an accountant who works for the group admitted that the dealership was culpable of such behavior. The company has also accused several other dealerships of similar acts, most of which have decided to pursue creditor protection by filing for bankruptcy.
Business owners who encounter similar disputes may wish to take every necessary measure to protect the financial futures of their companies. When a breach of contract occurs, an owner may find it helpful to speak with an attorney early on for advice on the available options for legal recourse. An attorney in Florida can evaluate the client’s circumstances and assist in protecting his or her business interests through the necessary methods.