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Sludge - Fixable Or Not


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My partner and I recently bought a '96 ES 300. It was a great price and low miles (88k) for the age. A few days after we brought it home we noticed the occational puff of white, odorless smoke when we started it up. We got advice from mechanic minded friends and tried higher octane gas, etc. We finally decided to have it looked at and the mechanic said the engine was filled with sludge and the only thing we could do is rebuild it or drop a new one in. We were ready to take it back to the dealer and demand our money back but we did buy it used and in Oregon the lemon laws only apply to new cars so technically he's not liable. Then another friend who's been a mechanic for many years and teaches cost effective car maintenance said to try this: get the oil changed, in a couple days change the filter again and then again after a few more days. The oils detergents should help clean away most of the sludge. So, who do I believe? Should I try the cheap fix or get a lawyer and demand my money back? We don't have the money for as new engine. Thanks.

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