Error on contract - dealership denying responsiblity

[headuh]

What is the name of your state? New Jersey

My husband bought a new bike from a dealership today. The sales contract was signed by both the dealer and my husband. My husband took the bike home and put about 25 miles on it. A few hours later, the dealership called and said that they made an error on the contract (a $4000 mistake in our favor). However, there is a line on the contract stating that the contrant is not binding until agreed upon by the dealer or an authorized representitive. By signing the contract, they have agreed to the terms listed on the contract and are therefor bound by those terms. The dealership is denying their responsibility. I have heard of this happening before with car dealerships and the consumer won the case because, in the end, they had a contract signed and agreed to by both them and the dealer. Do I have any legal backing with this situation?? I think I do, I just want some peace of mind.

PS Never buy from Mount Holly Kawasaki/Suzuki!

 

[racer72]

The dealership is not obligated to honor an obviously flawed contract. If the error went the other way, you would want the contract redone? Legally, you don't have a leg to stand on. And I have never heard of anyone winning a lawsuit over a flawed contract from an auto dealership.

 

[headuh]

1. I mentioned to the dealer that if the shoe were on the other foot, I doubt that they would allow me to break the contract because I made a mistake. He did not have a response to that and instead threated to call the police if we took the bike back home with us.

2. I have spoken with a family friend who is not an attourney, but works in the courts and has seen many cases where this situation happened with car dealerships and the buyer won the case. He cited one case where the dealership erred on the financing terms and wanted to take the car back and make a new contract, the buyer refused and took them to court and he won because he had the contract that both him and the dealership were bound to.

Thanks for your help, but I think we are going to contact an attourney today. . . just to get their opinion.

 

[keithsweaty]

Sounds like what happened to me this weekend...please post any info you find out...in my case...the dealer agreed to $500 off the car AND 0% financing...this is why I agreed and signed the contract with this info on it...
They called me up a day later telling them I had to give them an extra $500 because they realized they offered me both and I could only have one...I had already sold my old car based on the contract WE AGREED to...so i was stuck paying an extra $500

 

[Skyhawkcaw]

Note, I'm not an attorney, but one thing you may want to check is if there was any point that you signed that said the contract was conditional until the financing was cleared through. My dealership, for example, stamped something on the printed contract that acknowledged this.

Why is this important? Rarely--if ever--do dealerships provide funding, rather it's through the parent company or a subsidiary (like GM Auto Credit, or GMAC). Thus they'll often say that they're submitting it and agree to the contract terms if the company approves the financing.

 

[keithsweaty]

The financing was through another Toyota subsidiary...
I knew my credit score, and apparently so did Toyota finance guy...he said I was approved for it...and there was no conditional stamp on it...I read through the contract and the only part I saw about being able to change the contract was the part about a trade in, which did not pertain to me

 

[headuh]

Well, I called an attorney and he said that it sounds like it could of been a "bait and switch". He said he sees this a lot with car dealerships. They get you in there and get you a great deal and you sign the contract and everything and take the car home. Then a couple days later, they call and say that they made a mistake somewhere and they need you to either give the car back, or sign a new contract for a higher price. The dealership is hoping that you've fallen in love with the car and will be willing to sign a new contract for, lets say, $100 more a month. They also get you if you traded in your car, and they have already sold it, and now you're stuck having to sign a new contract or be left without a car. But, if you've given them the $500 AND signed a new contract, then the original contract would probably be void. Hope this helps!

 

[keithsweaty]

Doh...being a first time new car buyerI gave in to their threats and signed the new lease...I had to make a decision on the spot...I asked for an extra day and they said no...oh well...
I learned from last time...guess by now my only course of action is to take it up with their corporate customer relation department...explain what happened and then threaten to put the experience in as much media (website/papers/flyers/etc) and stand outside their dealership letting people know their way of making deals...while $500 is not a TON of money...it still is a nice piece of change for those on a budget and at this point...its as much the principal as it is the cash