Originally posted by Yefim
This situation is not due to my ignorance. What I had in my hand was a clear title with absolutely no indication that there is anything wrong with the car.
And therefore you were ignorant (lacking knowledge) of the fact that there WAS something wrong with it, right?

Are you suggesting that it was my responsibility to run the Carfax on my old car before the dealer took it?
No, but you should have run a carfax before you bought it, or at some time during your ownership of it. It's your property, so it's your responsibility to know its history.

Taking into account the fact that the dealer had my VIN number three days before the transaction was completed I believe that it was the dealer's responsibility to run the carfax on the car that they are about to purchase... The manager told me that they had three previous cases like this before... this blows my mind... if something like this happened before, wouldn't you make sure that checking the car before the deal is done is the first thing you do? ... I can not believe that the dealer did not check the car if this has happened to them before.
If there's no liability on their part, why would they? You signed a piece of paper guaranteeing the car is not rebuilt. They made a sale that might have otherwise fallen through. It all works out in their favor in the end.

With this said… the dealer did not return my repeated calls on Friday to get things straight. I left two voice messages asking to get back to me and discuss options. I will wait to hear back this week and in the mean time I will probably consult the attorney.
If they won't work something out with you or are unreasonable in what they want, let it go to court. Meanwhile, I suggest you don't put too many miles on the new Infiniti, just in case.