Getting a full reservation fee refund if we haven't signed a reservation form

Kell4life

Getting a reservation refund if we haven't signed a reservation form.

My husband and I reserved a Persimmon property a few days before Christmas over the phone.

We'd visited the development in the flesh a few days previously but went home to think about it before making a decision. The development is 100 miles from where we currently live so they took a £500 reservation fee over the phone and told us we could complete the paperwork after the Christmas break.

They have only been open a couple of days between Christmas and New Year and only fully open again today.

In the meantime my husband and I have decided to change our mind about this property and have decided to buy something else.

Persimmon are agreeing to refund us £250 not the £500. I didn't think they could do this if we haven't signed any reservation form to say we will be purchasing the house, or signed an agreement about a £250 cancellation clause?

We have gone back to Persimmon disagreeing with them regarding the full refund, stating that no paperwork has been signed, so we await their response.

Comments much appreciated.

carpediemspirit

If you don't mind me asking, which Persimmon new build was it and which plot number did you reserve ?

Guest101

Kell4life wrote: »

Getting a reservation refund if we haven't signed a reservation form.

My husband and I reserved a Persimmon property a few days before Christmas over the phone.

We'd visited the development in the flesh a few days previously but went home to think about it before making a decision. The development is 100 miles from where we currently live so they took a £500 reservation fee over the phone and told us we could complete the paperwork after the Christmas break.

They have only been open a couple of days between Christmas and New Year and only fully open again today.

In the meantime my husband and I have decided to change our mind about this property and have decided to buy something else.

Persimmon are agreeing to refund us £250 not the £500. I didn't think they could do this if we haven't signed any reservation form to say we will be purchasing the house, or signed an agreement about a £250 cancellation clause?

We have gone back to Persimmon disagreeing with them regarding the full refund, stating that no paperwork has been signed, so we await their response.

Comments much appreciated.

Signed paperwork is not required at this stage. However the distance selling regulations could apply.


That is 7 days to cancel I believe? (or is it 14 now?)

Kell4life

Thanks that's helpful to know, I looked into the consumer law that's replaced Distant Selling Act in 2014 and it states 14 days to cancel. We are now on day 17, typical.
I'm wondering if there is any leeway on the fact that their offices have been shut most of this period for Christmas and New Year and no one would of been able to help us. £250 isnt the end of the world, and in normal circumstances if we'd signed the paperwork in the office that day and had had the £250 cancellation clause explained to us then I would of accepted it. All that has been done is given our card details over the phone and provided them with our name and address and agreed price to buy. We were going to be going into the office to complete the reservation form today.

The development is in Norfolk btw so under East Anglia office.

Jon_B_2

Did you pay with a credit card?

I'd section 75 them.

Kell4life

Good point Jon. Yes it was credit card. Thanks

[Deleted User]

I don't see how that would work. They didn't fail to reserve the property.

tomtontom

Jon_B wrote: »

Did you pay with a credit card?

I'd section 75 them.

Ob what grounds? It is the buyer trying to breach the agreement, not the seller.

eddddy

Jon_B wrote: »

Did you pay with a credit card?

I'd section 75 them.

Section 75 (and chargeback) is relevant for breach of contract or misrepresentation.

The first question the bank would ask the OP is what breach of contract or misrepresentation has occurred. They would then ask the developer for their side of the story.

(I'm sure the OP wouldn't tell the bank any fibs to get the money back, but if they did they would be guilty of fraud by misrepresentation.)

Jon_B_2

But there is no contract as nothing has been signed and no goods have been received.

To my untrained eye this is an open and shut case.

eddddy

Jon_B wrote: »

But there is no contract as nothing has been signed and no goods have been received.

To my untrained eye this is an open and shut case.

The OP has described how a contract was made over the phone.

Your eye is very, very untrained.