the buyer and seller agree on the price for a 2006 scion xb with 12050 miles on it for 12000, and sign a handwritten agreement. she wrote me a $500 personal check to hold the car until friday which is five days. i took it off the market for that time and had to turn down other offers for the car because i thought it was sold. i gave the buyer all of my info and my cars lien holder info such as phone number my account number and any info she need to get the correct pay off for the car. everything was going good until thurs. i was cleaning out the car and when looking thur my paper work when i bought the car i bought a 5 yr extended warranty bumber to bumber coverage. and notice i could cancel to get a refund or transfer it a new owner if i wanted. so i email her and offer to sell her the extended warranty for at least half price what i paid for it. casus she wanted to have two certified check to me and my lien holder which was fine to be sure the car will be paid off. i thought be a good deal for her. but then she turns around and says that since she is paying off my loan she should receive for no extra cost. i told her that the only the car was listed no info on there was there a extended warranty on there. so she thought i was double dipping un her pockets and she cancel the deal 12hrs before picking the car up. now she what her money back she paid for the deposit $500 by wed or she was for to file a small claims case again me for stealing $500 dollars from her.SO A LONG STORY SHORT DOES SHE GET HER MONEY BACK OR I GO TO COURT WITH. OR JUST KEEP THE MONEY?

N0help4u

From what I understand when someone backs out of a deal, especially if they signed anything, you can keep a percentage if not all of it. I think it depends on your state law for one. If they take you to court explain that you lost potential buyers.

ballengerb1

In most states the money is yours, however you must continue to make an earnest effort to sell the car. If you get the same dollar offer and do sell then you have sustained no damages and would need to retrun the money. Its all depends on how much financial damage happens to you, no damage no right to keep the money. You could deduct any additional advertising cost just like for someone who signs a apartment lease and backs out.

ddollinger

In future, if someone gives you money to hold anything that you are selling you should give them a receipt and on the receipt it should state that if the individual back out of the deal they lose the deposit.

Although, you need to check your local laws because some states do not allow you to keep a deposit over and above your actual damages and some do.

Reecie

I don't know what state you are in but there is a cooling off period for selling used cars in Georgia. It may also be on New Cars. I think it's a five day cooling off period. You could probably call a car dealer in your area and they would be able to tell you what the cooling off time is. If she is still within the five days you will probably have to giver her the money back. Check with an auto dealer. They will know about the cooling off time.

Reecie

this8384

I think that legally, the deposit would be yours to keep. You turned down other offers to sell the vehicle because you were complying with her request to hold the vehicle.

I would contact a lawyer and see what they have to say in regards to her cancellation of the agreement just because she wanted the extended warranty at no extra cost; if it wasn't mentioned in the agreement, then you have no obligation to give it to her. However, I find it odd that you "didn't remember" buying an extended warranty and a judge may not believe that part of the story either; s/he may agree with the purchaser and see it as "double dipping."