Chuck writes

Sea Ray is in the business of building new boats, not repairng vessels
that (according to sworn testimony) were driven onto a reef at between
20-30 mph. Whether or not Sea Ray repaired this boat adequately has
nothing to do with the company's ability to build a new boat. Would you
refuse to purchase a new Toyota, for instance, because you learned that
the Toyota factory has few provisions for repairing previously sold
cars that had been in a wreck?

end

If the Sea Ray factory was not capable of properly repairing a boat
that was so heavily damaged, why didn't they refuse to do so? They
also could have subcontracted the work to a qualified facility. They
tried, but failed, to repair one of their own products correctly. To
me, this speaks volumes about their abilities and judgement.

Your analogy for Toyota Motor Company is weak. If I brought a wrecked
Toyota truck to a Toyota dealership I would be directed to a qualified
repair facility. The truck would not be sent back to the factory for
repairs. If it was, I would expect it to be repaired to an extremely
high standard. If it wasn't, it absolutely would affect my decision as
to whether or not to buy another one. TMC is in the business of
building new cars and providing parts and support for previously sold
product. If TMC went into the repair business I would expect TMC
standards for the repair. If they didn't deliver, my decisions would be
affected significantly.

Chuck writes

The seller returned the boat to Sea Ray after the accident, and only
accepted it back into inventory after Sea Ray (the builder) affirmed
that it once again was up to OEM specifications. One could make a case
that the manufacturer is the ultimate expert on factory specs.

When the seller discovered some items over which they were concerned,
they hired a local yard to double check the work done at the factory
and paid for some additional repairs that the local yard recommended.

end

Chuck, you make my point here, exactly. Sea Ray did a poor job of the
repairs, yet told the dealer that it was back to OEM specs. Even after
Sea Ray shipped the boat back to the seller, there were still problems
that needed further repair. That doesn't give me a warm fuzzy feeling
about Sea Ray. Quite the opposite. This would, and should, affect a
buyer's decisions as to Sea Ray quality.

I agree with your conclusion that the seller failed to perform due
diligence when he bought the boat. I also agree with the decision of
the court that the seller did not do an adequate job of disclosing the
provenence of the boat and incurred substantial liability by failing to
do so.
Busy rich people sometimes don't spend the time to be really careful
about their major purchases. It was clear that the buyer was in a big
hurry to do some boating before the season ended. In the rush, he
trusted the wrong people to provide him with good information. The
court agreed with the buyer.

Chuck, thanks again for your contributions to the group. I always look
forward to reading your contributions, even if I disagree with you once
in a great while.