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If they made you sign a contract, I guess that they haven't committed for the cars condition, and claimed that the car is sold as is. But that's an issue you should recheck. If that is the case, I'm afraid that there is nothing much to do about that.

You may want to get a lawyer. It sounds like the used dealership got one over you and the only way to get justice is to take them to court.

I'm sure you're not the first person they've pulled this over. If I were you I would check what the contract says and after that get some legal council. It sounds like they are really wrong and the only question is can you prove it.

First question is weather or not you were provided a car fax report before you purchased the vehicle. Second, if you reside in the United States, the lemon law does apply in this case due to the possible false representation of the dealership due to not providing you with the car fax report or possibly not telling you directly. To cover my own butt, I am only providing this information due to my currently owning three vehicles of my own and making sure that the dealership or personal owner provided me with a car fax report or obtained the vin# of the vehicle and did the research myself. With respect to your vehicle being in the shop for as long as it has and having owned 6 vehicles total I am hoping that it is not the transmission in your vehicle.In most cases the higher the mileage the more of a likelyhood there would be of that being the case.If it's an automatic, all 6 of my vehicles were, a few signs to look for are when your vehicle jumps forward when accelerating or stopped at a traffic light, or even when your driving along and you feel a slight jump when your vehicle is switching gears, for example from 1st to 2nd or other, those, like I stated are possible transmission problems. Again I stress, this is from personal and past experience and I do not nor have I claimed to be a mechanic. Look forward to hearing how you made out! Good Luck!

Lemon laws are United States state laws that remedies to consumers for cars that repeatedly fail to meet certain standards of quality and performance. These cars are called lemons. The federal lemon law (the Magnuson-Moss Warranty Act) protects citizens of all states. State lemon laws vary by state and may not necessarily cover used or leased cars. The rights afforded to consumers by lemon laws may exceed the warranties expressed in purchase contracts. Lemon law is the common nickname for these laws, but each state has different names for the laws and acts.  The federal lemon law also provides that the warranter may be obligated to pay your attorney fees if you prevail in a lemon law suit, as do most state lemon laws.

For a major repair, such as the rear end, the dealership should be responsible for this.  I would hire an attorney and the dealership should pay for this attorney along with a rental car. 

Good Luck..