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Who do I owe if the contract is void?

San Diego, CA |

My husband and I were in the market for another car, long story short we found one and fell in love with it. Well the dealership had a very hard time financing it and getting a lienholder. Well 2 months later we got it financed(almost, new contract wasn't signed). Now the dealership wants another 500$. The technical 1st payment was 12-28-13, if it was financed the same day. Well if I don't have a lienholder yet, how do I owe 500$ now, after they sent me a letter of contract cancellation voiding the contract? Are they trying to scam me and my husband? We didn't damage any property and I provided insurance during the time we had possession of the vehicle and took pictures of the vehicle when we dropped it off last night, proving there wasn't any damage done by us. Why are they harassing us?

Attorney Answers 4

Posted

I agree. This is so fact specific the contract terms and a chronology need to be evaluated. As a general rule, if a contract is void nothing is owed.

This is not legal advice but only general information. No attorney-client relationship is created without a written and signed retainer. I do not know all the facts of your specific situation, which will affect this general post. You can get more information at my websites: http://kindsvater.com http://internetmarketinglawcenter.com

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Asker

Posted

The special finance manager refuses to take no for an answer. We felt very upset when she told my husband to be a man and pay the bill and if he didn't that they will come after your wife because she's in the military. Now is that considered verbal assault? She decided to call me not even 5 minutes later telling me to pick up the car because its "mine". Well its not. I don't know what he was doing trying to give back the keys and her telling another employee don't take those keys from them. Well the car is parked on there lot the dealership has a spare key. We locked the car with the keys inside and I took the vehicle off my insurance as of midnight.

Asker

Posted

She had no reason to be vulgar towards me or my husband. We felt that she was pressuring us and trying to coerce us to get more money. We said no, and she didn't like it.

Posted

I'm very sorry to hear about your situation, which sounds very fact specific. As such, I would recommend that you sit down with a local attorney to go over your situation and any paperwork you have. Depending on the contract and applicable law, you may or may not owe the $500. You can use Avvo's Find a Lawyer feature or contact your local bar association for a local referral. I would do this sooner rather than later so you can stop the alleged harassment. Best of luck to you and your husband.

Answer given for general advice and is not a legal opinion, which would require an analysis of the facts and circumstances as well as the applicable law and regulations.

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Posted

If they rescind the contract I think they can still recover the mileage or for fair use if it is returns. I think it is in the usually in the contract and/or allowed by statute.

This is not a comprehensive answer and it is impossible to provide a meaningful response without a consultation.

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Posted

This is what it states, the sale is being cancelled (rescinded) because we were unable to assign the contract to a financial institution with which we regularly deal, under terms acceptable to us. Thus, you must comply with the contract and immediately make arrangements for return of the vehicle. When the vehicle is returned to us in the same condition as when it was delivered to you (normal wear and tear expected), we will refund all consideration given by you to us, which may include cash down payments and/or trade-in vehicle(s), if applicable, as required by the contract.

Posted

The answer to your question may depend on a number of other factors. You might want to talk to a local attorney and have them review the contract and the circumstances surrounding the transaction.

Good luck

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