Palmdale, CA asked in Business Law and Contracts for California

Q: Can a car dealership cancel sale contract with 0 down payment approval after 12 days of signing and not give you the car

A dealer ship lied about the down payment approval but signed the contract with that financing terms then tried to change the down payment to$250 I had financing already when I applied for credit but after I turned down the second contract the dealership didn't run my credit with who I was finance with they ran my credit 7 other companies then ran my credit application with the finance company I brought to them. Which resulted in a denial. Now I can't get the financing options I once had.

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2 Lawyer Answers
James L. Arrasmith
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Answered
  • Sacramento, CA
  • Licensed in California

A: If you signed a sales contract with the dealership that specified a particular down payment and financing terms, and the dealership later attempts to change those terms without your consent, that would generally be considered a breach of contract. However, the specific legal rights and remedies available to you will depend on the laws of your jurisdiction and the specific terms of the contract.

In general, if you believe that the dealership has breached the contract, your first step should be to review the contract carefully and consult with a qualified attorney to determine your legal options. Depending on the specific circumstances, you may be able to seek damages for any losses you have suffered as a result of the dealership's actions, such as the cost of obtaining alternative financing or the loss of the opportunity to purchase the car.

If you believe that the dealership engaged in fraudulent or deceptive conduct, such as lying about the down payment approval or misrepresenting the financing terms, you may also be able to seek additional legal remedies under consumer protection laws.

Ultimately, the best course of action will depend on the specific facts of your case and the applicable laws in your jurisdiction. It is important to act quickly and seek legal advice as soon as possible to protect your rights and interests.

Yelena Gurevich
Yelena Gurevich
Answered
  • Studio City, CA
  • Licensed in California

A: almost all california car contracts are identical and have a 10 day provision where a dealer can cancel the contract within 10 days (i.e. they have to tell you by phone, text, email, etc. within 10 days that they are cancelling the contract). if they did not tell you until day 12, then you can hold them to the contract. it will be a battle so be prepared for threats, harassment, etc. all of which is illegal and they will eventually pay for if you file a lawsuit. it's not clear from your post if you have possession of the car or if the dealer does. this could affect your legal rights. contact an attorney familiar with dealership fraud, specifically regarding the 10 day rule violations and debt collection violations right away. consultations are free. be prepared to provide all your paperwork, your text messages, emails, and phone records to the attorney.

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