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Resolving an issue like this is always difficult, it's a case of he says, she says, but who is correct. The dealer says they didn't damage it, you say they did. From what I can determine neither you nor the dealer has any real proof one way of the other. You might try the consumer affairs people in your state, or engage a lawyer to argue your case, or best, contact Mercedes-Benz direct and put your case to them.
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