Yikes thats minging!!!!! I can't believe anyone would sell something in that state.
She won't have a leg to stand on in small claims though, after all they collected it and could have/should have inspected it before handing over any money - buyer beware and all that!
Have you looked at what she's been buying, at least 3 bugaboos and several other doubles in the last couple of months?!? Odd?