Car dealership backs out of deal after I paid deposit

loskie

metallic costs nothing extra why do you think it is FOC for fleet buyers.? Most list prices are circa £500 for metallic so where has this £700 come from?

bobbly

495 for most in this case, but over 700 for a couple of the "premium" ones.

WellKnownSid

motorguy wrote: »

• Make money on the finance deal with a kickback from the finance company.
• Generate future business for the service team, parts team, etc

Only two ways manufacturers make money - selling the finance, or selling the parts to keep them on the road. There's little else to be made selling new cars, but obviously you can't service these two channels without a product...

Marvel1

You back out of deal, they keep the deposit.
They back out of deal, the refund the deposit.

Don't really see what the problem is.

marlot

In theory, you could buy the car from somewhere else and sue them for the difference between the prices. It's called 'loss of bargain'. Someone did it recently - http://www.telegraph.co.uk/cars/news/pensioner-gets-85000-payout-after-porsche-dealer-sold-his-car/

But - expensive to do, and won't work for a 'normal' car.

arcon5

cjdavies wrote: »

You back out of deal, they keep the deposit.
They back out of deal, the refund the deposit.

Don't really see what the problem is.

Because both scenarios see op prejudiced! It means they can basically do as they please. Whereas op must do as agreed. Contracts must be balanced!


Op they entered in to a legally binding contract, it's as simple as that. They can't rescind from it or walk away!! They can breach it but not just treat it like their playground.

If you really want it then go in and pay the extra and tell them to mark the receipt as paid under protest and make it clear you will be seeking this loss back.

If they refuse to proceed with the contract after this then make it clear you will shop around for like for like deals and seek to recover your losses from them if it costs more.
Write to their legal team. That's the benefit from buying from larger organisations.

facade

The usual situation with a broken contract is that the innocent party should suffer no loss, or more precisely, be back in the same position as they were before the contract was formed.

So if the dealer breaks it you get your deposit back, and you don't get a car, which puts you back in the same position as you were when you first walked in the dealers.

Which is how the original decision went over that Porsche.

If you break it, and the dealer has ordered in say a pink & blue Ferrari, which they cannot now sell or cancel, then you have to compensate them for their actual losses, and at the least lose the deposit.

motorguy

WellKnownSid wrote: »

Only two ways manufacturers make money - selling the finance, or selling the parts to keep them on the road. There's little else to be made selling new cars, but obviously you can't service these two channels without a product...

Exactly, hence why the manufacturer and the franchised dealership will be happy to sell the car at very close to cost price in order to get their product out there.

motorguy

loskie wrote: »

metallic costs nothing extra why do you think it is FOC for fleet buyers.?

I'm not sure why thats relevant? There is a cost associated to it for private buyers, who are buying 1 car at a time, not 1,000 at a time.

loskie wrote: »

Most list prices are circa £500 for metallic so where has this £700 come from?

Standard metallics are usually £495. Pearesclent finishes usually £695. "Individual" colours can cost several thousand on some cars.

loskie

WellKnownSid wrote: »

Only two ways manufacturers make money - selling the finance, or selling the parts to keep them on the road. There's little else to be made selling new cars, but obviously you can't service these two channels without a product...

really! what a load of BS