Owed money by a now closed car garage

Ineedadvice500

Posting on behalf of partner. 

He bought a car through part exchange, with the new car on finance. He used part payment of the part exchange as a deposit on the new car. He was told he’d receive the remaining money (around 4k) after the two weeks cooling off period of the finance contract.

The garage closed down a few days later to our surprise with immediate effect. Naturally no one is answering the phone and the garage does look officially closed when I drove past it earlier.

Where do we stand here? It’s a significant amount of money to lose and happy to go down the legal route if needs be but really unsure what the first step is. It’s a limited company.

thanks 

paul_c123

Why is he receiving money if he's buying a car?

sheramber

paul_c123 said:

Why is he receiving money if he's buying a car?

Because he only used  some of the part  exchange value as the deposit.

The balance to be  passed  to him. 

e.g.  part exchange offer £10,000 

deposit £6000

 balance to be paid out. 

paul_c123

In that case, he still has part-ownership of the old car. 

caprikid1

paul_c123 said:

In that case, he still has part-ownership of the old car. 

I think you will find the garage was most likely able to pass good title on of that car and the garage owes him the money. Car is gone I suspect as is the money.

Ineedadvice500

I’ve just driven past again and his old car is sat on the forecourt however it’s the only car there now.

paul_c123

I know what I'd do, given the above.

Mildly_Miffed

paul_c123 said:

I know what I'd do, given the above.

Stealing a car is rarely the right answer.

Has the limited company been closed?
If not, then whether that particular site is closed or not is irrelevant.

If it has, then he's pretty much out of luck, as an unsecured creditor.

marcia_

Mildly_Miffed said:

paul_c123 said:

I know what I'd do, given the above.

Stealing a car is rarely the right answer.

Has the limited company been closed?
If not, then whether that particular site is closed or not is irrelevant.

If it has, then he's pretty much out of luck, as an unsecured creditor.

 Hardly stealing when it's not been paid for 

Ayr_Rage

If the car is accessible I'd be going to see if it has been abandoned with the keys in it.

Are the new vehicle documents in order with a signed order, finance agreement and the V5 in the purchaser's name?

I'd also be checking for outstanding finance on both of the vehicles involved.

Mildly_Miffed

marcia_ said:

Mildly_Miffed said:

paul_c123 said:

I know what I'd do, given the above.

Stealing a car is rarely the right answer.

Has the limited company been closed?
If not, then whether that particular site is closed or not is irrelevant.

If it has, then he's pretty much out of luck, as an unsecured creditor.

 Hardly stealing when it's not been paid for 

Yes, it absolutely is.

The OP's OH is an unsecured creditor.

Good clear title to the goods passed as part of a much wider deal, with PX for another vehicle on finance - however some money (what proportion of the value? 40% has been suggested) is owed by a business that may or may not still be extant.

Is the OP's OH willing to unwind the ENTIRE deal and return the new car?