Thank you for your reply.
Here is the issue. Under the law the courts hold a used vehicle purchase is as is unless there is a written warranty to the contrary. If there is a written warranty, the terms written into that warranty apply. Thus, if there is proven abuse and the warranty excludes abuse, they can deny coverage. So you have the right under the MMWA to seek mediation of this dispute through your state attorney general
's consumer protection division (the MMWA provides for this as first step in resolving a warranty dispute), since you did not abuse the engine and did not know of such abuse. You would need to take the vehicle to another mechanic to have it inspected to determine even if there was any abuse to the engine such that the warranty would be voided.
Second, even if the warranty may not cover this if there was abuse, in all used car sales aside from warranty, there are common law implied warranties
. The implied warranty of merchantability applies when you can show the dealer knew or should have known the vehicle was not fit for use (such as they claim they inspected it prior to sale and this defect is one that your mechanic says should have been seen on reasonable inspection by the dealer). Another implied warranty is the implied warranty of good faith, which says that if the dealer knew or should have known of the defect and concealed it or knowingly misrepresented the condition on sale, they are liable for the damage.
These are your options for coverage either under the MMWA or the implied warranties in a used vehicle purchase. However, the courts also say about used vehicle as is sales "caveat
emptor" or "buyer beware" because the risk of hidden defect is on the buyer and not the seller absent proof of the things I said above.