Law on canceling an order of a new car

Law on canceling an order of a new car

Author
Discussion

madmover

Original Poster:

1,725 posts

185 months

Monday 18th April 2011
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Can anybody clarify the acutal law on canceling an order if you haven't taken delivery of the goods? i havent yet picked up the car but its arrived at the dealership and i do wish to cancel..any suggestions?

Efbe

9,251 posts

167 months

Monday 18th April 2011
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depends on what you signed... obviously!

Zod

35,295 posts

259 months

Monday 18th April 2011
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It's called the law of contract. If you've signed the contract, they can hold you to it becasue they've performed their part in delivering the car. They might let you off with just the loss of your deposit. If they are more generous than that, you will be a very lucky man.

TPS

1,860 posts

214 months

Monday 18th April 2011
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madmover said:
Can anybody clarify the acutal law on canceling an order if you haven't taken delivery of the goods? i havent yet picked up the car but its arrived at the dealership and i do wish to cancel..any suggestions?
What reason do you wish to cancel the order for?

Zod

35,295 posts

259 months

Monday 18th April 2011
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There is likely to be a cooling off period for the financing agreement, but I cannot believe that you haven't signed an order for the car. They need a signed customer order to get a car built.

Or is this a leasing arrangement?

Mojooo

12,743 posts

181 months

Monday 18th April 2011
quotequote all
Consumer Credit Agreeents from Feb 2011 all have 14 days cancellation periods (not sure which date in Feb from) but this does not cancel the product. It just means you can get the finance from elsehwere

There is no law that gives yo protection when you havent taken poession of the goods (well not if you went 'instore'.

If you dont pay for the car then you will be in breach of contract and they can pursue you for losses. If you are outside of the cencallation period for the finance I guess they will take the finance money and the finance company will chase you for the debt,



If you cwant to cancel do not take the car from them because as soon as you start using it THEIR losses will start mounting up.

madmover

Original Poster:

1,725 posts

185 months

Monday 18th April 2011
quotequote all
Mojooo said:
Consumer Credit Agreeents from Feb 2011 all have 14 days cancellation periods (not sure which date in Feb from) but this does not cancel the product. It just means you can get the finance from elsehwere

There is no law that gives yo protection when you havent taken poession of the goods (well not if you went 'instore'.

If you dont pay for the car then you will be in breach of contract and they can pursue you for losses. If you are outside of the cencallation period for the finance I guess they will take the finance money and the finance company will chase you for the debt,



If you cwant to cancel do not take the car from them because as soon as you start using it THEIR losses will start mounting up.
thanks pal, been and spoke to a lawyer i know and this is exactly what hes said pretty much!

stewjohnst

2,442 posts

162 months

Tuesday 19th April 2011
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One thing to bear in mind, if the vehicle delivered is not to the exact specification that you ordered (where are my olive seats and yellow wheels?) Then they have failed their part of the contract in supplying the vehicle you requested and you can reject it and get yourself out that way. Of course, you'd need to be able to prove that this was the case. I've known friends reject a brand new company car because it wasn't debadged and had the wrong colour interior so the lease company had to suck it up and take it away.

fatboy b

9,500 posts

217 months

Tuesday 19th April 2011
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Happened to me a few years back. I ordered a new BMW 330 Ci. About a month before delivery, I had to fit new rear brakes to the 328 Ci. The dealership managed to screw this up royally, resulting in the disintegration of the handbrake shoes at 70mph on the motorway about 1/2 hour after collection )(scary noises from the back-end)

I managed to get the car back to the dealership, but it mucked up my weekend's plans. I called the salesman over whom I ordered the new car from, at which point I requested a cancellation of the order. They refunded my deposit, and I managed to get the same car through another dealership.

mattviatura

2,996 posts

201 months

Tuesday 19th April 2011
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OP what is the car?

Without getting into the ins and out of the contract if it's saleable - ie if there's a waiting list you might be able to walk away from it.

Not good form to order something you aren't sure about though.


fergywales

1,624 posts

195 months

Tuesday 19th April 2011
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Given the obvious time between order and delivery, what is the reason to cancel now?

Zod

35,295 posts

259 months

Tuesday 19th April 2011
quotequote all
fatboy b said:
Happened to me a few years back. I ordered a new BMW 330 Ci. About a month before delivery, I had to fit new rear brakes to the 328 Ci. The dealership managed to screw this up royally, resulting in the disintegration of the handbrake shoes at 70mph on the motorway about 1/2 hour after collection )(scary noises from the back-end)

I managed to get the car back to the dealership, but it mucked up my weekend's plans. I called the salesman over whom I ordered the new car from, at which point I requested a cancellation of the order. They refunded my deposit, and I managed to get the same car through another dealership.
Fair enough to lose confidence in the dealership, but they didn't construct the new car!

Zod

35,295 posts

259 months

Tuesday 19th April 2011
quotequote all
stewjohnst said:
One thing to bear in mind, if the vehicle delivered is not to the exact specification that you ordered (where are my olive seats and yellow wheels?) Then they have failed their part of the contract in supplying the vehicle you requested and you can reject it and get yourself out that way. Of course, you'd need to be able to prove that this was the case. I've known friends reject a brand new company car because it wasn't debadged and had the wrong colour interior so the lease company had to suck it up and take it away.
That's a leased company car though. Not the same thing at all.

skeeterm5

3,358 posts

189 months

Tuesday 19th April 2011
quotequote all
Mojooo said:
Consumer Credit Agreeents from Feb 2011 all have 14 days cancellation periods (not sure which date in Feb from) but this does not cancel the product. It just means you can get the finance from elsehwere

There is no law that gives yo protection when you havent taken poession of the goods (well not if you went 'instore'.

If you dont pay for the car then you will be in breach of contract and they can pursue you for losses. If you are outside of the cencallation period for the finance I guess they will take the finance money and the finance company will chase you for the debt,



If you cwant to cancel do not take the car from them because as soon as you start using it THEIR losses will start mounting up.
The 14 day cooling off period only applies to distance selling regulations. If you signed the contract in their offices you dont have this period. Thats why most dealers insist you attend their place to sign paper work.

S

Mojooo

12,743 posts

181 months

Tuesday 19th April 2011
quotequote all
skeeterm5 said:
The 14 day cooling off period only applies to distance selling regulations. If you signed the contract in their offices you dont have this period. Thats why most dealers insist you attend their place to sign paper work.

S
It changed in feb 2011 to all consumer credit agreements - however it will not cancel the PRODUCT you bought, just the FINANCE.

You can still cancel the product and finance under distance selling and doorstep selling.

Ash333

183 posts

165 months

Tuesday 19th April 2011
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Zod said:
Fair enough to lose confidence in the dealership, but they didn't construct the new car!
No, but once a loss of confidence has occurred, and a decision has been made to cancel, it would seem reasonable to let the salesman know why he is losing out on his commission. It'll also get him on your side with regard to the shoddy work, as he'll not want to lose his sale.

madmover

Original Poster:

1,725 posts

185 months

Tuesday 19th April 2011
quotequote all
VW Scirocco - anyone want one? Ive gone into work on the sunday after signing the paperwork on the saturday to discover im set to loose my job frown

Pseudonym17

225 posts

176 months

Tuesday 19th April 2011
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madmover said:
VW Scirocco - anyone want one? Ive gone into work on the sunday after signing the paperwork on the saturday to discover im set to loose my job frown
Sorry to hear that mate it's happening all round my department too, scary for all of us right now frown hope your able to get back on the horse quickly! Head up smile

anonymous-user

55 months

Tuesday 19th April 2011
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madmover said:
VW Scirocco - anyone want one? Ive gone into work on the sunday after signing the paperwork on the saturday to discover im set to loose my job frown
If you've only ordered the car on Saturday your dealership should be able to back you out of it, it's not in their interest to continue with the order from the manufacturer if you aren't able to purchase it, they aren't going to of built it yet. I'm assuming Scirocco's are still being built to order. Sorry to hear about your job.

Manks

26,304 posts

223 months

Tuesday 19th April 2011
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madmover said:
VW Scirocco - anyone want one? Ive gone into work on the sunday after signing the paperwork on the saturday to discover im set to loose my job frown
It's a long shot, but it might JUST be worth a go taking your redundancy notice and showing it to the dealership.

If I were a dealer I would have no truck with a wishy-washy numpty who just changed his mind. But if it was a genuine case of hardship I might at least listen - it's not very good PR to force you to proceed. In addition to which, I suspect VW Finance will be less happy about you owing them money if you have no means of repaying the loan.

So, they might decide that if the car is a relatively easily sold spec just to let you off the hook. There is also the possibility, I suppose, that you could negotiate them keeping some of your deposit to offer as an incentive to a new buyer. The ability to knock another grand off the car and keep the margin might appeal to them.

So, legally you aren't in a great position. But I think you could escape relatively unharmed with a sincere and honest conversation with the dealer principal.