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Is this legal? Should I contact a lawyer?

Discussion in 'Gen 2 Prius Main Forum' started by jw_teacher, Dec 30, 2005.

  1. jw_teacher

    jw_teacher Junior Member

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    I just signed a contract with a dealership for an '05 Prius they were selling on their lot. It's the exact color and package I wanted so I'm happy.

    However...

    The other dealership I put a $500 deposit back in August is NOT happy with me. Their manager is giving me the runaround saying "You can't put a deposit down on a vehicle you signed for and expect it back. That's why we do these deposits."

    I won't even get in to how the dealer who I dealt with LIED their behind off and said that if they couldn't get me the car I wanted I could get my deposit back with no problem "because the Priuses sell like hotcakes". Apparentely the manager said I signed a contract for a "non-refundable $500 fee" so they are not obligated to give it back. (Pretty much my fault for trusting the dealer who was so charismatic I took his word instead of looking over the contract thoroughly.)

    But... the dealership is no longer selling any '05 Priuses. They are selling '06's. My contract was for an '05 so since they did not deliver it, I should be entitled to my deposit. I got into a big argument with their manager about this yesterday and he said he will talk to his superiors and call me back.

    Now I know I'm just getting the runaround. They are doing anything they can to avoid giving me back my refund and trying to frustrate me to the point that I give up. That's not going to happen. Before it was the $500 I wanted back, but now it's the principle on top of it.

    I have a pretty strong feeling that when I call this afternoon they are going to BS me some more. Should I talk to a lawyer about this? Am I entitled to my $500 because they didn't deliver the '05 I contracted for? I can't believe a dealership will be this unprofessional and unethical just to keep someone's money on a product they NEVER delivered.
     
  2. maggieddd

    maggieddd Senior Member

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    but did that '05 that you ordered ever come in?
     
  3. jw_teacher

    jw_teacher Junior Member

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    No it did not. I called the dealership many times since August about its arrival only to be told that they have no idea what color, package, and quantity of Priuses they had being sent to them. They said they would call me if it was on the lot. I was called one time in November to be told they received the last of their '05 Priuses, but none in the color/package I requested. I was then offered to be put on the '06 waiting list over the phone, and I said yes.

    What's funny is the manager tried making me out as the bad guy and said my '06 was coming in "six days". I argued with him that not one employee at the dealership could never humanly possible determine what they receive until it arrives on the lot and now all of a sudden he *knows* that my color and package is coming in a certain number of days. This is nothing but a runaround.
     
  4. pjm877

    pjm877 Member

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    how did you put the money down? Credit Card? And you don't say where you are located? Check with the country gov.


    later
     
  5. jw_teacher

    jw_teacher Junior Member

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    Yes, I put the deposit down with a credit card and I still have my receipt and paperwork. I and the dealership are located in Missouri just outside of St. Louis.
     
  6. pjm877

    pjm877 Member

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    check with the issueing company/bank and see if the charges can be backed out.

    search the state Gov web sites and see if you can find anything that you can put the dealerships feet to the fire with..

    were you ever going to use them for service? might be that bone to hang over their head with..

    Good luck..
     
  7. viking31

    viking31 Member

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    A contract is a contract. If the above statement is true with no other conditions stated in the contract, which would void the statement, well, me thinks you are out $500. Emotionally and in your opinion you may think you are entitled to your money back but it would most likely cost you more to even try to get it back.

    But if you are really intent to get your money back and willing spend a little of your personal time consider picketing the dealer. I remember someone once picketed a large local RV dealer, and although I knew of nothing why the couple picketed the dealer, it does make me think differently of that RV dealer every time I drive past the business. I guarantee this is publicity the Toyota dealer who has the $500 will not want. Newspapers and the local TV news love protests on slow newsdays.

    Perhaps someone who has a legal background can comment regarding the legalities of picketing a business.


    Rick
    With a $500 deposit too on a 2006 #4 expected now to arrive Jan 20.
     
  8. efusco

    efusco Moderator Emeritus
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    I don't know if it's legal to have non-refundable deposits in MO. I had no problem getting a deposit back at a local dealer in Springfield, MO when we decided against a Highlander Hybrid this fall.

    Did you read your contract yet? Does it say "non-refundable"? Even if it does, what is the dealership's obligation to you and can they fulfill it (ie. get you the '05 in the color/package you specified)?

    I suggest contacting the BBB, the State AG's office (they have forms online you can fill out and send in...I'd send a copy of the letter to the VP of sales at the dealership you're dealing with too, just for good measure..suspect you'll get satisfaction well before the AG's office has a chance to deal with it). A lawyer, at this point, would be a waste and would cost you more than your $500 deposit. If you can't resolve this through the means above then small claims court is probably your best solution to assure you get most of the $500 back.

    Finally, I'd start, today, by going over any sales manager's head. Walk into the dealership, ask to speak to the VP of sales and don't take 'No' for an answer. Speaking in a loud voice will get you attention, esp. if you're there during a busy part of the day. Don't let them shuffle you off to an isolated room to deal with a lacky that can't get you answers either. Stand your ground and let them know you'd like the VP to come out and talk with you or that you'd like to meet with him in his office.

    Finally, write down EVERYTHING! Date, time and name of who you talked to, what they said, etc. Keep every detail and every piece of paper. Send that on to the AG's office if it comes to that.
     
  9. jacaufie

    jacaufie New Member

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    Ah, I could be in your shoes in the near future...

    I too recently placed $500 down on a 2006 Prius. Since no one could tell me when the vehicle would be available or even the exact amount it would cost, I was reluctant to place a deposit. I spoke with the salesman's manager as well as the finance guy as a result and they all said that an unhappy customer was not worth $500 to them.

    So the salesman (and his manager) assured me that if I disliked anything about the deal when the car arrived I could get my deposit back. I signed the contract.

    I probably should have read it more thouroughly, as I now see in the fine print there is a 'no refunds' statement.

    I can only hope that my vehicle does indeed arrive in the ~45 days they promised and that the price is not higher. Personally, I don't think customers like us should be required to place non-refundable deposits when the basics of the deal are so hazy (price, delivery, etc).

    Let the buyer beware, eh? :(
     
  10. Somechic

    Somechic Member

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    If you did sign a contact, re-read the part about getting your refund back after not delivering.

    Something very similar happened to me, except it was a $1000 deposit. Once I spoke to the General Manager, I was able to get the deposit refunded.

    Good luck.
     
  11. galaxee

    galaxee mostly benevolent

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    see, here's the problem as i see it.

    they failed to deliver on their end of the contract. they had an contract for an 05 and did not meet their end. that sounds like breach of contract to me, and afaik would get you your 500 back.

    however, since you agreed to wait for an 06, this may not hold water anymore.

    good luck, i'd start with your credit card company on this one.
     
  12. jacaufie

    jacaufie New Member

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    The key phrase here is 'Credit Card'. In my situation, they initally wanted a $1,000 deposit but as I hadn't brought my check book settled for $500 on my credit card (they were wary of the ~3% fees, I guess).

    Pay by check and you no longer have the credit card folks to go to bat for you. Something to think about...
     
  13. FBear

    FBear Senior Member

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    Your best bet is to embarrass the hell out of them. Show up on a Saturday afternoon, about 1 p.m., it should be nice and crowded. Ask to speak to the Sales Manager. Remember this has to be done out on the floor in hearing range of the entire dealership. And say something to the effect Where is the 2005 car you promised me and what do you mean I can't get my deposit back. This must be said in an authoritative voice not yelling but loud. You'd be surprised how fast they will refund you money. This worked for me at the dealership that never got me a car.
     
  14. viking31

    viking31 Member

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    Perfect, oh and don't forget to lug in your picket signs mentioned earlier while you are at it. "Ask" them where the best place in front of the dealership would be to set up your picket line.

    You'll walk out with either of the following: a trespass warning or your deposit. I think you will get the deposit.

    Rick
     
  15. jw_teacher

    jw_teacher Junior Member

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    I read everyone's responses so far and I think those are the best ideas. I might take them to small claim's court or stir some chaos at the dealership.

    Again, I still think they are legally entitled to give me back the $500 for failure of non-delivery. It shouldn't matter that I signed something that said "non-refundable". I signed a contract for a car they failed and can no longer deliver which should void the contract.
     
  16. Astrotoy7

    Astrotoy7 New Member

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    similar to what others have said, their failure to deliver the '05 is a breach of contract on their part.... have you resigned new paperwork for an 06 ?

    I would speak to their most senior management person first. Make sure you are NOT entirely calm when you do this. Sometimes, being aptient and courteous is important, but these ppl have given you the runaround so let your displeasure be clearly expressed. Inform them that you are "seeking legal advice" and will report their conduct to the the relevant authority - eg. there is a motor car traders assoc here - Im sure there'd be an equivalent organsiation over there. The media is also a powerful tool that can work in your favour...down here we have a AM talkback show that focuses on this type of stuff.. often merely threatening thos type of exposure will result in them backing down...

    whatever you decide to do....good luck, and try not to let ot stress you out too much.
     
  17. minime

    minime New Member

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    Check your state laws. In Colorado, by law, the dealer must refund a deposit on an auto at the buyers request.

    Before going to a lawyer which will probably cost you more than the $500 deposit, do some more research on the web about auto deposits in MO. You can't be the first person this has happened to.
     
  18. AMARCUS

    AMARCUS New Member

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    Seems to me, you made a good faith effort to buy an 05 Priuis.
    Seems to me, the dealer failed to deliver.
    Failure was not your doing.
    Contract was not fufilled. You have been damaged.
    Tell them you will file today.
     
  19. efusco

    efusco Moderator Emeritus
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    I like to appear calm but firm to start. If the need to escalate my emotions becomes evident I do so.

    It's also effective to both bring someone along with you to play 'good cop' to your 'bad cop' attitude AND to take notes. Make it obvious (lean forward to look at a name tag before writing it down) that you are taking names, times, notes and quotes. Guarantee they'll sit up and take notice.
     
  20. jw_teacher

    jw_teacher Junior Member

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    Thank you so much. My contract was only for an '05. There was no paperwork done for an '06. I will talk to someone (VP, highest manager in authority) in an aggressive matter and make sure customers can hear me. If I have to I will do the picket sign from the sidewalk.