Need advice from experienced sellers

[Stackie]

My boyfriend is selling an old car of his for $900. A man that was interested came to him and said that he would pick it up last Friday. The Wednesday before, the man called and said that he couldn't pick it up, but he would come put a deposit down on it. He did end up coming (2 hours after he said he would be there...) and put $300 down. He said that he would be there Monday to pick the car up and pay the rest of the money.

Well, Monday came and went..and we never received a call from him. When we tried to call to see what was up, there was no answer.

Tuesday...no call..no answer...same as Wednesday.

Now it's Thursday, and he STILL isn't calling and isn't answering our phone calls. My boyfriend left several messages stating that if he hasn't contacted us by this coming Monday, he is putting the car up for sale again and keeping his deposit.

But that is where my question comes in- can we really keep the deposit, without getting into a legal issue? My boyfriend had no written document or oral agreement stating that the deposit would not be refunded.

Advice, suggestions? It's not like we can wait around forever. The reason he is selling the car is because he wants to put a down payment on a new one. We are moving soon and would like to get the new car before the move. This guy is really ticking us off!

 

[Tiatrack]

You took a deposit and had no written agreement? That was a big mistake. At this point I'd refund the guy his money if he asks for it back and sell the car to someone else.

 

[mishellyshel]

We own a used car business. You can't technically keep his deposit unless of course he signed some type of form that said it was non refundable.
What you can do, is put the car back up for sale and if you sell it you sell it. Hold onto his money and if he ever contacts you than just give it back.
He may have fallen ill or lost his phone or something, people rarely forget about money though so when he is ready I am sure he will contact you.
We also own an automotive glass & upholstery repair business and had some guy leave a convertible mustang that we replaced the whole interior and put a new sound system in.
He never came back didnt respond to our certified mail, after one year we were able to flip it into our name and we sold it!!
If there were no papers signed than there is no alligience to sell it to him but morally and without spending lots of money legally you should give his money back.

 

[Stackie]

You took a deposit and had no written agreement? That was a big mistake. At this point I'd refund the guy his money if he asks for it back and sell the car to someone else.

I didn't, my boyfriend did. This is his first time selling a car, so he really doesn't know all the technical stuff. Guess he was just expecting the guy to be more reliable than what he has been...

Thanks Michelle. I'll let him know. He said he was going to put it back up for sale Monday if the guy hasn't called by then.

 

[mishellyshel]

it is also very common for "regular" people to do transactions without written agreements. the guy who left the money is really the fool.........i would never give anyone money without getting some type of written receipt.
stacie--the only thing he really lost is time. tell him not to sweat it and just put it back up over the weekend.

 

[Nancy]

I don't know what it's like there, but here you need to switch the ownership to unfit. That way, if he buys it and drives it without having a safety check or insurance, they can't come back on you.

 

[Stackie]

He did give him a receipt that basically just had what was being sold, the amount asked, and the amount already put down. That's about it, though.

 

[AZChins]

I'd do what Michelle says. Just put the car back up for sale and keep his money in an envelope in a safe place...if he comes back, give him his money back. It really isn't fair to put the storage of the vehicle on you.

I think that the one thing to remember is that it's always easier to just give in when it comes to things like this. People will drive you crazy with demands and their anger. You don't want to end up in court over something.

I don't have a car business...but I do have a lot of cars. Whenever I buy a car I do everything all on the same day and get it done immediately. That means that I don't have to deal with people getting mad or changing their minds.

 

[Tiatrack]

I think that the one thing to remember is that it's always easier to just give in when it comes to things like this. People will drive you crazy with demands and their anger. You don't want to end up in court over something.

You're so right! Stacie, I think this is a lesson learned for your boyfriend. He's in an awkward situation now because if he sells the car, the guy can sue him for selling it after a deposit was put on it (even if the deposit is returned) if he decides to be a jerk.

Do you have an address for the guy? If so, I would send him a certified letter that says something like "you have until X date to pick up the car and pay the balance or we will be relisting the car and refunding your deposit."

 

[arf2184]

I agree. Sell the car, but if the guy ever comes back, give him his money back. This way you won't get into any trouble legally and its the right thing to do.

Check online at your state department of licensing for what needs to be done when you sell a vehicle.

Your bf and the person buying should have a written bill of sale ready before any money changes hands just so both him and the seller are clear on everything. Really, all it needs to say is that he's selling such and such vehicle to this person for this amount on this date and be signed and dated by both parties.

Also as soon as the car leaves his possession, he needs report the sale of the vehicle to the licensing department in your state so they know that its no longer his. Here in WA we can do it online. This releases him of liability for any parking tickets, impound fees, etc. incurred by the new owner between the time of purchase and the time they change the title over. One of my coworkers sold a truck and hadn't done this yet. The guy hit a telephone pole and rolled the truck into a field and left it there. She got a call from the state patrol wanting to know why her truck was wrecked and ditched. She had the bill of sale so wasn't held responsible, but its not something you want to have to deal with.

 

[AZChins]

That's awful. Your poor coworker.

Take your plates, all the registration papers and declare that it's been sold. I can go online here and report that I've sold the car. People will literally coast for a few years on your old plates even if the registration has expired. They won't get insurance, they won't put the car in their name. People are real scum sometimes.

I had someone sell me a really nice 68 Mustang that was in good shape but their daughter blew the engine. I went to go get a title and register it in my name the day after I brought it home. First I went to have it insured and then I went to the DMV. Everything was fine until I was told that I had to pay all the fines and late fees for the OTHER people because it was never in their name. I had to get a power of attorney document and wade through a bunch of paper work. By the time I was done it cost me an extra $250 and the people I bought the car from refused to pay what they owed. It was disgusting and it really made me not ever trust anyone. I will never buy another car from someone without a signed contract so that I am covered.

Going to court sounds easy, but it's almost impossible to get the other people to show up sometimes and then you have to pay all the fees and wait a couple months for a court date.

 

[Stackie]

Thanks everyone. I'll let him read through this read.

It was more of a project car of his than a daily driver..he really only bought it to build it up and have fun with it.

 

[Lmbswimmer]

Make sure the bill of sal states being sold "as is". You want a clause in there stating that all questions were answered truthfully and you cannot be held liable for anything 10 seconds after the car leaves your driveway essentially. I can't remember how we worded it for ours, but we were covered if something occured with the vehicle once it was out of our hands. We also did cash only and handed the title over, we called and changed the plates over. In some states you can get temporary paper plates so you can move the vehicle legally to get it registered.

In my line of work I see verbal an written agreements all the time. I have learned to be very, very, very cynical of everyone. I do nothing without a written contract, and depending on what it is I demand proof of insurance. I have seen some really scummy things. The only reason why I don't have a written contract with the guy that mows my lawn is because he is also the ACO.

 

[Sugarmama]

Any time someone places a deposit, the receipt needs to include the date the car would be picked up and paid for in full, as well as what happens to the deposit should the buyer not uphold his end of the bargain.

With no date on it, the buyer legally probably has quite a bit of latitude as to when he is required to get the car before he loses his deposit, or loses his option to purchase the car. I'm sure it would depend on your state's laws. I wouldn't do anything with the deposit or the car without speaking to an attorney to find out your legal obligations.