That depends on whether the cost of operating it over the rest of its useful life is higher than the cost of just eating the difference between the balance due on the loan and the trade-in value.
The people getting burned are the buyers.
The dealership fails to pay off the remainder of the debt on the trade-in car before selling it to another party.
Then the dealer folds, and the original owner’s lien-holder goes after the purchaser.
This is the reason you research real-estate before buying. Now it looks like you’re going to have to get a lawyer to buy a new car.