When car dealerships are buying vehicles from an auction, it's crucial to disclose any important information found in the auction condition report to potential customers. As a general rule of thumb, anything significant that would affect the customer’s decision whether to purchase the vehicle or not should be disclosed.

While CARFAX and AutoCheck reports may indicate a clean vehicle history, the auction condition report might contain additional information about the vehicle's condition, such as photographs and notes regarding any damages or prior accidents. It could also include mechanical conditions discovered with the vehicle by the auction. This is why a thorough review of the condition report before the sale and proper disclosures based on your discoveries is highly recommended.

If the dealership chooses to repair any of the damages, the customers should be informed of the prior damage as part of the vehicle's history. Failure to disclose pertinent information may result in legal repercussions and a loss of trust between you and your customers.

Therefore, it's always better to err on the side of caution and disclose all relevant information to your customers.