Sold a Car and now buyer is backing out of deal

shepthedog

Hi all, looking for some advice on a hypothetical situation..

So heres a queston if have, does anyone have advice on the possible situation below.

If I sold my classic car to someone, I had agreed to make some minor repairs at my own expense to the other persons specifications before they bought the car from me..So sale day came and went, the person examined the car extensively, test drove etc and was v happy and sale went through..
So a week passes and then person rings me telling me hes now not happy with the car and wants to cancel the deal. He says he will cancel the cheque that he paid me with ( I had accepted with good faith).. I also have a deposit from the person which i took to hold the car for him.
So do i have any rights here??
Anyone have any idea what would happen in this scenario or has it happened to anyone here??

Hagar

Talk to your bank. If the cheque has cleared and is not fraudulent. It's a done deal.

crosstownk

If it was a private sale then as Hagar said "its a done deal".

shepthedog

Yep it was a private sale, however I'm pretty sure cheque hasnt cleared yet... So what position am I in if the cheque is stopped?

crosstownk

Talk to your bank ASAP - if the cheque is cancelled you have no money.......and no car!

Hagar

Depending on how long ago the cheque was lodged it may be past the point of no recall/stopping already.

If the cheque doesn't clear you could involve the Gardai immediately. Effectively the buyer has obtained goods through issue of a fraudulent instrument (a rubber cheque). You could mention this option to the buyer and see what his reaction would be.

It might be worth asking the same question over in the legal forum.

shepthedog

The dealings with this person have all been quite dignified so far and they are from a good background so they will be getting the car back but my problem is that I have sold the car and dont want this person breaking the deal by have it for a wk and then leaving it back saying they dont want it anymore..
I had already pursued buying another car on the basis of this sale.

shepthedog

The dealings with this person have all been quite dignified so far and they are from a good background so they will be getting the car back but my problem is that I have sold the car and dont want this person breaking the deal by have it for a wk and then leaving it back saying they dont want it anymore..(especially when I went to the expense of getting alterations/repairs done to their specifications)
I had already pursued buying another car on the basis of this sale.

crosstownk

A deal's a deal............

Anan1

What are their grounds for not wanting the car now? Is there any way that they could argue that you are a dealer - ie that this was not a private sale?

impr0v

The deal is done. If the cheque has been cashed you are under no obligation to hand the money back, and if it hasn't, and he cancels it before it can be cashed, you can sue for the funds. In neither scenario are you under any obligation to accept the car back. If you are a commercial seller then the circumstances might be slightly different, but if acting in a private capacity the above is the situation. It will be obvious to any court that you acted in good faith at all times, particularly in carrying out repairs to his specification, and that it is unreasonable for you to be required to offer him a change of mind period.

The Doktor

For there to be a contract, there needs to be somthing to sell, and proof that there was a deal done. Which there is, as in the cheque he gave you.
There`s a lesson here isnt there?? CASH!!!:p

shepthedog

crosstownk wrote:

A deal's a deal............

My thoughts exactly... Thanks for all the comments and ideas...

I was interested to see what other peoples opinions are..

commited

Did you both sign a reciept stating the amount sold for etc?

jimmycrackcorm

If you have the cheques cashed and he has the car then it is too late as it is a private deal. If you are of the mind to take the car back then tell him you are keeping the deposit plus some compensation towards the modifications and / or a weeks rental. As far as the law goes unless you were blatantly dishonest then caveat emptor applies.

Our man in Havana

A cheque can be recalled after it has cleared. He has 24 hours after the cheque clears to finally recall it.

alias no.9

Contrary to what people say about verbal agreements, they do stand up in court. Even with nothing written down on paper, you have what is known as an implied contract. The buyers actions, paying a deposit, writing you a cheque and most importantly, driving away in the car and your actions in accepting the deposit and cheque, doing the requested repairs and handing over the keys will all stand up in court. For the buyer to cancel the cheque without your consent is fraud but let this be a lesson to you or anyone else selling a car, don't hand over the keys until you have cash in your hand or any other type of payment has been cleared.

My advise is to tell the buyer in no uncertain terms that you expect him to honour your deal, if he refuses, then it's time for a solicitor and probably the gardai.

You really should have waited until that cheque cleared fully before giving him the car. This and bank draft fraud is one of the easiest ways to get ripped off.

prospect

As hagar said,

If the buyer cancells the cheque, it is Fraud, and they can be done for it.

KTRIC

Just backing up what the last few posters said, this is fraud and should be treated as such. Don't cave in , get the Gardai involved if you have to.

LundiMardi

why in gods name did you accept a cheque!:eek:

If it has cleared i don't think he can just recall it, the bank would ask your permission to return the money.

bennyc

what if the buyer claims the car has faults that the seller didnt disclose, surly there is some comeback ( your word against his) . If the cheque is cancelled is he in the right to do this. ??? And also would he be due his deposit back...

Is there a reciept that states bought as seen if so would that cover the above

Raiser

Title is misleading and annoying - please don't waste peoples time.

- Should be "Oh what if I & then...bla...bla...bla....."

Then nobody would be here to read this

prospect

Something similar to this was discussed before.
I posted a sample receipt I had used when selling cars privately, and I think we streamlined it a bit and made a fairly useful template with it.

It basically covered both parties asses,
Seller: Sold as seen
Buyer: Paid for in full

If I find it I'll post a link.

stevenmu

I presume you've copies of transfer of ownership forms ?

The OP

shepthedog wrote:

The dealings with this person have all been quite dignified so far and they are from a good background so they will be getting the car back but my problem is that I have sold the car and dont want this person breaking the deal by have it for a wk and then leaving it back saying they dont want it anymore..
I had already pursued buying another car on the basis of this sale.

Don't send off the change of ownership form until the cheque clears. Also - I presume he signed that, which means he acknowledges the car is now his, so 100% DO NOT TAKE THE CAR BACK. If he cancels the cheque, it's fraud and you can sue him for the price of the cancelled cheque, plus your fees.

You say this situation is "hypothetical", yet you're talking like it's happening to you right now.