Bought a car from private seller who will not fulfill contract

[phoenixchick47]

What is the name of your state (only U.S. law)? NJ

I recently bought a car from a private seller that seemed fine on the test drive, but obviously I wanted it inspected before I purchased it. However, since the guy would be going out of state soon and my mechanic couldn't drive up to the guy's house, I suggested that we write a Bill of Sale that included a 10 day clause stating: "The seller allows the buy 10 days to have the vehicle inspected by an independent mechanic, and agrees to cancel the sale if the inspection is unsatisfactory to the buyer." However, it also later states "Seller has no knowledge of any hidden defects in and to the vehicle and believes to the best of the Seller's knowledge that the vehicle being sold is in good operating condition. Said vehicle is otherwise sold in 'as is' condition and where currently located."

So we exchanged money/title and I registered the car in my name. Around 5 days later, I went to 2 separate mechanics that confirmed that there were approximately $500 of repairs that needed to be done to the car. When I told this to the seller, he first said "You're being over priced, none of these problems are major," then tried to state that any used car would need repairs so I should have known that (to which I obviously responded that the contract was accounting for that, because had we had the car inspected beforehand, I would have accounted for repairs in the final car price).

Anyway, I told him that we have two options: either reverse the sale (as per the contract) or I would allow for him to pay for the repairs needed so as to avoid him having to re-register the car to his name. He said that he would get back to me. However, he has stopped answering my calls and my texts. It's been 8 days since the sale was completed, so I'm not sure how time is a factor since I had the car inspected and reported back to him before 10 days, but I'm not sure if the reversal of the sale also has to occur before 10 days. I have his address and his information, so I guess what I'm asking is: should he not want to settle this in one of the suggested ways, can I take him to a small claims court? Do I have grounds for that?

Thanks in advance for any advice!

 

[OHRoadwarrior]

You have not listed the repairs, however, I bet I could come up with an even longer list without looking at the car. That does not mean the seller lied. What are your list of defects? Your problem is you have contrary clauses in the agreement. Contrary clauses are always decided against the contract author. I usually spend the equivalent of thousands in repairs when I buy a used vehicle bringing it up to my level of expectation, doing the work myself. That is why my vehicles will all go hundreds of thousands of miles.

 

[OHRoadwarrior]

2007 Nissan Altima is the vehicle from the other thread. Still awaiting an answer.

https://forum.freeadvice.com/small-claims-courts-24/bought-car-private-seller-who-will-not-fulfill-contract-620897.html

 

[phoenixchick47]

So the car has leaking struts which have to be replaced, front brakes need to be replaced, and there is a sound that is caused by something in the transmission. It's not so much that the repairs are extensive as it is that the contract was written with that clause included because I otherwise would have had an inspection done beforehand, which would have showed that there were issues, and I could've negotiated the price based on that.

 

[OHRoadwarrior]

None of those are issues the seller, unless he was a mechanic, would necessarily have been aware of. So we get back to your self cancelling contract which will be decided against you as you wrote it. While you are at it, verify the transmission fluid/filter gets changed or CVT fluid if applicable. The coolant for the engine and check to see if it has a timing chain or belt. If it has a belt, ask seller when last time it was changed and if it is a belt, make sure to have them change the water pump at the same time. That will also cover the engine coolant change, in one. Enjoy your new car. Make sure to get an alignment after you replace the struts which are a normal wear item as are brakes. You should have heard any "sound" in the transmission when you test drove it, so that is out also and likely normal. Since you are in NJ, have them check the brake lines for rust as you may need some of them changed also.

 

[justalayman]

your sales contract says you have a right to rescind the deal if the inspection is not acceptable to you. If it isn't acceptable to you you make a demand to rescind the contract.

 

[OHRoadwarrior]

She also accepted it as is. There is nothing not a normal wear item in her inspection. she bought a used car, not a new one that was sitting for 8 years. The implication is the 10 days is to find hidden defects like a bad engine etc.. Not every routine maintenance item she can come up with. Further, she has already consummated the transaction and is the owner. Nothing she noted could not have been caused during the duration by hitting railroad tracks or braking hard off a ramp.

 

[justalayman]

She also accepted it as is. There is nothing not a normal wear item in her inspection. she bought a used car, not a new one that was sitting for 8 years. The implication is the 10 days is to find hidden defects like a bad engine etc.. Not every routine maintenance item she can come up with. Further, she has already consummated the transaction and is the owner. Nothing she noted could not have been caused during the duration by hitting railroad tracks or braking hard off a ramp.

makes no difference. The contingency: "The seller allows the buy 10 days to have the vehicle inspected by an independent mechanic, and agrees to cancel the sale if the inspection is unsatisfactory to the buyer.

is what it is. Regardless if anything else, if the inspection was unsatisfactory buyer has a right to rescind the contract. All as is means is there is no warranty expressed or implied. The acceptable inspection has nothing to do with that.

she could return it if the inspection showed it was better than a new car if that was not acceptable to the buyer. It has nothing to do with the actual condition of the vehicle.

 

[OHRoadwarrior]

So if we assume your scenario is correct, she must cover all costs involved in transferring the car back to him after losing all the costs she incurred buying it. He agreed to cancel the sale, not pay all the fees and taxes.

 

[justalayman]

Well, that's a problem becasue it wasn't addressed. If i was the seller I would surely push for that interpretation. If buyer was not happy with that interpretation then as seller I would argue seller wrote the contract to it should be interpreted in the best light for the seller. If seller wasn't happy with that I would argue clause vague and unenforceable. If that isn't acceptable I would argue buyer incurred the registration costs prematurely (before she ratified contract) and due to buyer "jumping the gun" she should be liable for all costs to rescind the sale.


And that is a real question; why did she go full out and transfer everything and even register the car if she was giving herself the option of rescinding the sale?

 

[OHRoadwarrior]

Which gets back to what I said about the court interpreting vagueness against the writer of the contract. I suspect these costs are far in excess of what the inspections feel is wrong with the car.

 

[justalayman]

They could be. I don't know. It is surely something the op should weigh when making their decision.

 

[phoenixchick47]

Admittedly, I knew that the costs incurred for registering the car may be forfeited, but (and this is silly) the car didn't have plates on it and I had to drive it to the mechanic. So it made sense at the time to register it so that I could drive it there. And being that the seller told me that the car was in great condition and had no problems, I didn't expect $500 in costs, so I suppose I'll have to wager the cost of repairs to the loss of registration fees. I really appreciate the advice, everyone!

 

[phoenixchick47]

So I'm going to have the transmission fluid changed tomorrow- since it's a CVT, this will cost $200. The seller, who simply said he doesn't have the money I paid him so he refused to honor the contract, agreed (in a separate email) that should the transmission have any issues, he would refund me the money and the $200. Obviously the issue he doesn't have my money to begin with, so if it's confirmed that something is wrong with the transmission, is there anyway for me to receive my money back?

 

[OHRoadwarrior]

Not unless it is within 10 days. CVT's do not operate like other transmissions. If you know someone handy, the fluid is about $20. Even being disabled, not counting drain time, I can do it in 20 minutes on a Prius.