Lot Damage
Lot damage is physical damage to vehicles while on the dealership lot — door dings, hail, scratches, or transport damage that reduces front-end gross.
Physical damage to vehicles while on the dealership lot — door dings, hail damage, scratches from customer test drives, or transport damage. Lot damage is typically absorbed by the dealership unless covered by insurance, reducing front-end gross on the affected units. Undisclosed lot damage that is repaired before sale can also create compliance exposure if not properly documented on the deal jacket.
Category: Operations
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