Florida Man Sues Dealership After $38K Watercraft Disappears During Service

When Jose Ortega pulled into Broward Motorsports in West Palm Beach with his personal watercraft, he believed he was doing exactly what responsible owners were told to do. He had purchased the watercraft in November 2022, along with a prepaid maintenance plan that cost thousands of dollars.

The pitch was simple and reassuring. Bring it to the service. The dealership will take care of the rest. Records will be kept. The asset is protected.

Nearly three years later, Ortega says he’s still making payments of $441 a month on an engine that’s gone from the dealership’s property.

According to a lawsuit filed against Broward Motorsports, Ortega dropped off the watercraft in September 2023 for a routine service. The facility, located off Okeechobee Boulevard in West Palm Beach, accepted the unit for maintenance. Weeks passed. By October, Ortega says he was told the watercraft was no longer on the property.

The Disappearance Report and the Police

At first, he thought there must be a mistake. He says the staff told him they would look into it and call him back. Three days later, he claims, the dealership informed him that the water craft had been stolen. A police report was filed with the Palm Beach County Sheriff’s Office.

That explanation did not end the financial obligation. Ortega continues to pay the lender because stopping would damage his credit. Watercraft loans remain active. The asset linked to it does not.

His lawyer, Robert Gonzalez, filed a lawsuit seeking more than $38,000 in damages. The complaint alleges that Broward Motorsports knew or should have known that watercraft stored on its premises were at risk of theft and that the dealership failed to take reasonable precautions to protect customer property.

The case raises a larger issue that many powersports and automotive consumers rarely think about: What actually happens, legally and financially, when a car (or watercraft, in this case) disappear from a concession lot.

Bailment and Liability of the Dealer

In the world of retail and powersports cars, when a customer leaves a vehicle for service, a legal concept known as bailment is created. The owner temporarily transfers possession, but not ownership, to the business. In most states, this creates a duty of reasonable care.

While the business does not automatically become a property insurer. it is generally necessary to take reasonable steps to safeguard it.

What counts as reasonable can become the central battleground in court. Security cameras, gated storage areas, key control procedures, and overnight storage policies all come under scrutiny.

In Ortega’s case, Gonzalez argues that there was no adequate explanation of how the robbery occurred. He says he was not given security footage or a clear account of the circumstances.

A representative for Broward Motorsports declined to provide detailed comment but confirmed that security cameras monitor the area where the theft was taking place. The representative also stated that the company does not carry a specific insurance policy that automatically covers such losses.

Insurance Gaps and Who Pays the Price

That detail is significant. Contrary to popular belief, dealerships are not universally required to carry broad insurance policies that cover every customer vehicle stored on their premises. Many carry garagekeepers insurance, which can cover customer vehicles in their care.

However, policies vary. Some only cover damage resulting from negligence. Others include broader protection. In some cases, coverage limits, exclusions, or deductibles can complicate claims.

If a business does not have applicable coverage, liability may depend on proof of negligence. Without proof that the dealership failed to exercise reasonable care, recovery may depend on litigation.

Consumers often assume that once a vehicle is placed in a franchised dealership or, in this case, a large powersports retailer, the risk shifts entirely to the business.

In reality, many retail installment contracts require the owner to maintain comprehensive insurance until the loan is satisfied.

This means that even if the vehicle is stolen from a dealership, the owner’s personal insurer may be the first line of recovery. If coverage is insufficient or contested, the financial burden may remain.

Accounting and the Way Forward

Ortega’s frustration is not only about money but also about responsibility. He says he trusted the dealership to hold and protect his purchases. Instead, he says, he was left paying for something that no longer exists.

The lawsuit will likely turn on familiar but complex questions. Were reasonable security measures in place? Was there negligence? And who ultimately bears the risk when the client’s property disappears behind the gates of a commercial lot?

Until those questions are answered in court or through settlement, Ortega remains in a situation that many owners of financed vehicles fear but rarely imagine will happen to them. Three years after the alleged theft, he is still writing checks for a watercraft that cannot be found.

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