SandMan123

Hey guys,

I just want to get another opinion on a dispute over the deposit on my 2011 Mustang GT. Here's the scoop:

I had a buyer who lives near Las Vegas who wanted the car, but I live in Missouri. Since I was going to be in Vegas on military orders for part of March, I agreed to drive the car down to him if he put a 500 dollar deposit on the car, as a guarantee he'd purchase the car after I drove it 1700 miles across the country. Well, in the agreement, he said he'd purchase the car by the 7th. The agreement didn't specifically say the deposit was nonrefundable (or refundable). Well, he decided he couldn't even show up to look at the car because of financial difficulties, and he asked if I could lower the price 1K from what we agreed before I drove to Missouri. I said I could not, and that I am keeping his deposit to cover the cost of driving the car from Missouri to Las Vegas. It looks like I'll still be able to sell the car in Vegas, but at a lower price, so I'm in the hole about $1500 because he decided not to buy the car. Question to you all: Am I wrong in keeping his deposit? Legally? Ethically?

Thanks!

BlackGT45th

You both had agreed to the price before making the trip. IMHO one should be prepared for any financial situation that may arise when deciding on the purchase of a vehicle. He laid a deposit down and wanted to change things afterward. I'm no lawyer so I can't give advice on the legality of keeping the deposit, but as someone who hates it when people back out of something they already agreed to, I say keep it... Keep us posted on what happens.

SandMan123

Well, I'll let you know what happens. I'm going to speak to a lawyer tomorrow just to make sure I have a legal right to keep the deposit. If I'm legally obligated to return it then I will.

Entaille

smart man. I was going to suggest you do what you are doing, but you're on top of it.

from an ethical stand point IMHO, the deposit should be refunded. you need to clearly state the terms when accepting a deposit, and if it wasn't clear that it was non refundable, then it's kind of up in the air.

taking ethics out of it - he screwed you, and you're wasting time and taking a hit on the selling price now .. I would want to keep the money. :P

beefcake

^^^ I would have made clear that driving the car that is was non refundable, unless for some reason you had misled him

BlackGT45th

I sure hope that legally you can keep it. It was clear he had no ethics being that he elected to screw you after you made the long trip and wanted to adjust the deal.

RVAStang05

Check with your lawyer.... but because of the distance and trouble of that drive, I'd say you are within your rights to keep the deposit. If it were a local sale, I'd say give it back. But that's your time, expense of the gas, and not to mention that's a big chunk of mileage to put on the car=depreciation. You could always split the difference and give back half, as a show of good will. But the bottom line is that he put you through a lot of time and trouble and then reneged on the agreement.

traxiii

Not only do I think you should keep the deposit, but I think you could probably sue the guy in small claims court for your losses, for depreciation, fuel, your time.

Franchise-SZ

Since their was no signed contract/written-signed discretion both of you are not obligated for one, to sell or buy the car.

Campo 427R

I am not an attorney and have not seen your deposit contract if any.
The only concern that I have is that you state you were going to be in Las Vegas on military orders anyway. You probably could have flown there but one way or another you had to be there. If your deposit was not refundable I would negotiate a 50% return due to gas/wear and tear costs on your car over flight costs.
Good luck.