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    WayneLee's Avatar
    WayneLee Posts: 2, Reputation: 1
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    #1

    Mar 7, 2006, 07:47 AM
    Refund of Auto Sale Deposit
    About a year ago, my son started to buy a used car. These are the facts as I understand them:

    1. He put 700 down against the 7000 price.
    2. The seller sent the car away to have some engine work done. My son was aware of this, and expected it to be available in 2-3 weeks.
    3. After the engine work was done, other problems with the vehicle were identified including transmission and other problems. This was before my son took possession or paid additional money.
    4. My son decided there were too many issues with the car and asked for his money back, and the seller refused. Several attempts since that time have all been refused.

    Does my son have a legal claim to get his money back? I assume this will take a Small Claims Court suit.

    Thanks for any advice you can provide,

    Wayne
    excon's Avatar
    excon Posts: 21,482, Reputation: 2992
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    #2

    Mar 7, 2006, 08:04 AM
    Hello Wayne:

    Given the limited amount of information available, I would say no. Used cars, unless there is a specific warrantee, are sold "as is". This transaction was consummated at the time the deposit was given, therefore, from a legal perspective, the car was your sons on that day.

    The facts that only a deposit was paid, and the car was not delivered are not relevant. Had he paid cash and taken the car, he couldn't return it. This is no different. He owns the car, isn't entitled to his deposit back, and the original owner can sue your son for the remaining $6,300.

    But, what do I know? I'm a convicted felon.

    excon
    excon's Avatar
    excon Posts: 21,482, Reputation: 2992
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    #3

    Mar 7, 2006, 09:01 AM
    Hello again, Wayne:

    Sorry about the addition, however upon re-reading your question, there is something funny about your number #2, that needs further explanation.

    There may have been some warrantee after all, because nobody (the seller) is going to spend their own money to do work on somebody else's (your sons) car, UNLESS there was some agreement to do so.

    However, without knowing the details of that agreement (warrantee) , I couldn't tell you who failed in their obligations.

    excon
    CaptainForest's Avatar
    CaptainForest Posts: 3,645, Reputation: 393
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    #4

    Mar 7, 2006, 03:36 PM
    First, if you do go to court, it would be small claims.

    You might have a case (as excon brought up via point 2).

    Also,
    In the state of Massachusetts, they have something called the “Lemon Law”. Within 10 or 14 days after you BUY the car, you can take it to a mechanic and get it evaluated. If you find something wrong with the car, you return it to the seller who MUST take it back.

    So, one argument could be that the Lemon Law would apply. That is, assuming, you are in MA. And your state, if different, might have a similar law.
    Fr_Chuck's Avatar
    Fr_Chuck Posts: 81,301, Reputation: 7692
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    #5

    Mar 7, 2006, 06:23 PM
    What does the paper work say, if the paperwork said that the sale was dependent upon his OK after it was returned. Did it say that the car would be in a certain condition.

    Most likely the paperwork he signed was an agreement to buy the car as/is and that he had inspected the car as of so and so date and had agreed to buy the car if engine was repaired, or if thisor that was done.

    Most likely if this is like most used car dealers ( not a high opinion of them) they had the paperwork written to close the deal at the payment of the money. He should not have paid any money till the car was in the condition to buy.

    But all you have to lose if the filing fee and you may find a judge that believes his story.
    WayneLee's Avatar
    WayneLee Posts: 2, Reputation: 1
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    #6

    Mar 11, 2006, 10:24 AM
    Thanks to everyone for their responses. To clarify a couple of things, the purchase was from an individual, not a dealer. There is a bill of sale, but it only details the purchase price, date and my son's deposit amount. Nothing else.

    Regarding the engine issue, both my son and the seller agreed to the repairs. The problem occurred after the seller failed to contact my son after the repairs, and additional significant defects were found *(including the transmission).

    Regards,

    Wayne
    Fr_Chuck's Avatar
    Fr_Chuck Posts: 81,301, Reputation: 7692
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    #7

    Mar 11, 2006, 11:34 AM
    In general sales from individuals are as is/where is ( and they should have had this or similar phase on the bill of sale.

    Another story: I had an older truck, a 50 something, I drove it to work every day for almost a year, had a lot of body damage but started and drove. I had no idea besides it used a lot of oil that anything was wrong with it.

    I had a drive about 1/2 long, as the new owner of it drove out of my drive, the transmission went out, I had no idea that it was bad. And would not refund his money either since I sold it in good faith and it was bought as is and he had an opportunty before he paid me any money to have it checked by any mechanic of his choice.

    Sadly I would say this is a costly but important learning lesson on having a used car checked by a certified shop before you pay any money down on one.
    Unregistered's Avatar
    Unregistered Posts: n/a, Reputation:
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    #8

    Apr 1, 2008, 11:24 AM
    Hi I am a private person selling a car and I took a deposit on the car I was selling to hold it for 2 days tell the bank opened and they could get the rest of the money owed to me. They had a friend of there's come look at the car when I wasn't there and said there was stuff wrong with it and they didn't want the car now. I told them if they bring me the balanced owed me for the car it is there car. But if they don't bring me the balance for the car and don't want the car they do not get any of there deposit back the deposit was to hold the car for them and not refundable. Am I right with what I told them? I was under the understanding that once they gave me the deposit I was holding the car for them and it was not refundable. Am I right thinking that? I would think that would be right other wise I could go around giving deposits on cars and when I find the one I want go get all my deposits back on the ones I don't want. Can you let me know ASAP Thank you I live in Michigan
    excon's Avatar
    excon Posts: 21,482, Reputation: 2992
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    #9

    Apr 1, 2008, 11:43 AM
    Hello Un:

    I think you're right. Although you should have a written contract that says that very thing.

    Even though you're right, he may want to take you to small claims court anyway. Ok, go and defend yourself.

    excon
    JudyKayTee's Avatar
    JudyKayTee Posts: 46,503, Reputation: 4600
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    #10

    Apr 1, 2008, 11:55 AM
    Quote Originally Posted by Unregistered
    Hi I am a private person selling a car and I took a deposit on the car I was selling to hold it for 2 days tell the bank opened and they could get the rest of the money owed to me. They had a friend of theres come look at the car when I wasnt there and said there was stuff wrong with it and they didnt want the car now. I told them if they bring me the balanced owed me for the car it is there car. But if they dont bring me the balance for the car and dont want the car they do not get any of there deposit back the deposit was to hold the car for them and not refundable. Am I right with what I told them? I was under the understanding that once they gave me the deposit I was holding the car for them and it was not refundable. Am I right thinking that? I would think that would be right other wise I could go around giving deposits on cars and when I find the one I want go get all my deposits back on the ones I dont want. Can you let me know ASAP Thank you I live in michigan

    Not a good idea to piggyback a question - this should have been posted on a new thread.

    What does the paperwork on your transaction say? Without paperwork it's your word against theirs.

    I would say hold onto the money - but be prepared for the buyer to attempt to sue you in Small Claims Court. Then a Judge can decide.
    JudyKayTee's Avatar
    JudyKayTee Posts: 46,503, Reputation: 4600
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    #11

    Apr 1, 2008, 11:57 AM
    [QUOTE=WayneLee]Thanks to everyone for their responses. To clarify a couple of things, the purchase was from an individual, not a dealer. There is a bill of sale, but it only details the purchase price, date and my son's deposit amount. Nothing else.

    Regarding the engine issue, both my son and the seller agreed to the repairs. The problem occurred after the seller failed to contact my son after the repairs, and additional significant defects were found *(including the transmission).



    I think your son bought the vehicle as is - this was a private seller - with an agreement that one specific repair would be made. That repair has now been made.

    I think the contract is valid. Very possible that the seller will sue for the balance of the money although if he's done nothing in the past year he probably is enjoying the down payment and has written off the transaction.

    I don't think your son has grounds to win but you never know unless you try.
    REllen's Avatar
    REllen Posts: 8, Reputation: 1
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    #12

    Mar 12, 2011, 03:54 AM
    Recently I paid an advance for a car I later realised I don't like. I suppose these things happen. I told him within a day that I will not buy it and I paid only $300. Anyway he told me very rudely that he will give back my money if he sells the car. I pray to God I will get back my money. You know, I understand the agony you and your son must be going through. I wish you the best and I hope you get back you money some way or CURSE the guy who is not refunding at least some money. By the way you can put a deal with thim that you get some money if he sells the car.

    - An unhappy regretful buyer, who got caought to a pushy, wicked, greedy car dealer -
    JudyKayTee's Avatar
    JudyKayTee Posts: 46,503, Reputation: 4600
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    #13

    Mar 12, 2011, 07:53 AM

    This thread is from 2008 - I'm sure the problem has been solved.

    I find it unusual that you pray to God that someone will be cursed.
    REllen's Avatar
    REllen Posts: 8, Reputation: 1
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    #14

    Mar 12, 2011, 09:24 AM
    Comment on JudyKayTee's post
    Look here, I'm upset and I was venting out. Sorry if I stepped on someone's toes. Anyway I think it's unethical to hold someone else's money if the goods are not purchased . Holding money, advance - whatever you call it. The ethical thing is to return the money. Full stop. If they all hold money like this then I don't wish them the best. Full Stop. Thank you.

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