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Slimy contract with "no dispute" clause? Legal? (leasetrader.com)

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jdq

Junior Member
What is the name of your state? NY

This is regarding leasetrader.com

LeaseTrader.com
1835 E. Hallandale Blvd.
Suite 431
Hallandale, Florida 33009

My girlfriend posted her car to sell her car lease, paid $79.95.

A potential buyer called from NC, claimed he wanted to buy lease.

Leasetrader.com charges girlfriend $150.00 for "lease transfer initiation"

Nothing happens. Days later she calls, she is informed buyer backed out. She asked for a refund of the $150.00. She was told she would receive one. She received none. She called back, she is told a supervisor would call. None called her. She called back and was told the charge is not refundable.

LEASETRADER FINE PRINT on says:

++++++++
LeaseTrader charges the seller a one time Non-Refundable fee of $149.95 once there is commencement or an initiation of the lease transfer process* (transfer of equity, lease assumption, adding the buyer to your lease contract, the selling of your car, the transfer of your leased vehicle, when a buyer takes over the sellers car) with an interested party provided directly or indirectly by LeaseTrader.com....

* The definition of an initiation of a lease transfer process is when any of the following occur: the seller requests to start the transfer process, the buyer requests to start the transfer process, the seller and buyer both agree on moving forward with the transfer process, the seller supplies the buyer with the leasing company's credit application, the buyer completes and submits the credit application to the leasing company, or which ever occurs first.

+++++++++++++++++

Can this be legal? Leasetrader is charging her $150 for a "lease transfer initiation" but the buyer pulled out, so they did absolutely nothing. We don't even know if this so-called "buyer" was not a "plant." They provided her with no further documentation. They are charging $150 and absolutely no service was rendered... can this be a legal contract?

Further, at my prodding, my girlfriend is disputing all charges with the credit card company, including the inital "display" fee... since they pulled down the display as soon as she disputed the $150.00 "transfer charge."

Now they are presenting her with a bill for those charges PLUS they are adding a $200 fee because she is disputing. Their online agreement further states:

+++++++++++++
Disputed credit card transactions possibly will be assessed the credit cards processor's processing charge for each time the transaction is disputed, plus administrative expenses plus any collection and/or attorney fees and court costs associated with any deviation of our fee structure and collection of debt.

REFUND POLICY

ALL FEES BILLED AND COLLECTED BY LEASETRADER ARE NON-REFUNDABLE.

+++++++++++++++++++++

Can this possibly be legal? Basically saying "we can charge you anything we deem appropriate and if you ever dispute it you will owe us even more"? I just can't believe this can be legal... can it be? What if the credit card company upholds the dispute to my girlfriend's favor? Can this firm continue to purse her, legally, through collections... can they attach liens etc? Would they have to get a court judgement? Can they affect her credit?

Is this really a "legal" contract that she is legally/morally bound to honor because she "agreed" to it when she signed on, even though they seem to be ripping her off?

thanks for any comments on dealing with these scumbags...What is the name of your state?What is the name of your state?What is the name of your state?
 


tranquility

Senior Member
Have you ever read the license agreement on the software you use? Those are upheld in courts all the time.

The problem is that you did agree to the terms at arms length. You weren't really in a position where you had undue pressure to deal with the person as you could have gone anywhere to advertise the item. I wouldn't agree to those terms and your girlfriend shouldn't have either. After a while, the business won't be successful because no one would want to deal with them.

The only thing which may be problematical is the attorney's fees for them. You usually see this provision written as for those who prevail in a lawsuit. (Or, less. There are many ways to write it.) There may be some problem with that, but you would have to research case law in your state.
 

jdq

Junior Member
she checked she'd read agreement

My girlfriend checked the box that she'd read the terms and that she agreed to them, though I'm almost certain she didn't read them... as to tell the truth, I didn't read the terms before agreeing to the ones to post to this site. Which is not an excuse, mind you... but of course problem is a great many people don't really read those things. (Though I would be much more inclined if I were spending money.)

But this is I why I must ask, can these terms be legal? You can agree to a contract but if the contract is not lawful... then it can not stand, from what I understand.

For example, can you really agree to never dispute a charge and a agree to owe them more if you dispute? Can you "agree" to never dispute what exactly you have been "agreeing" to and "agree" that the other party is always correct in any future dispute?

Further, what recourse do they have to collect the money she supposedly "owes" them? Do they have to sue and get a judgement? What if the credit card company agrees with her and upholds the chargeback, do they still have the right to pursue this? (Remember, they ultimately delivered no service or product)
 

Zigner

Senior Member, Non-Attorney
They *did* provide the service you requested. Of course their fees can be non-refundable.

While you seem to think that no-one reads the fine print, you do need to understand that it's a CONTRACT. Would you sign a paper-contract without reading it first?
 

jdq

Junior Member
they provided no service, tangible or otherwise

Zigner wrote:
"They *did* provide the service you requested. Of course their fees can be non-refundable."

In fact, they provided no service. They CLAIM they initiated a lease transfer, but they provide absolutely no proof as to WHO this supposed buyer was. They could have made this up for all we know (and they probably did).

Zigner, if I may ask... what is your background in this type of law? What's your background/training?
 

Zigner

Senior Member, Non-Attorney
In fact, they provided no service. They CLAIM they initiated a lease transfer, but they provide absolutely no proof as to WHO this supposed buyer was. They could have made this up for all we know (and they probably did).
Then that is what you will have to prove (probably in court unless there's an arbitration clause)

Zigner, if I may ask... what is your background in this type of law? What's your background/training?
Of course you may ask - and I may choose to refuse to answer.

EDIT:
I fall in the "other consumer" category.
 
Last edited:

You Are Guilty

Senior Member
Given that nothing in the "contract" is barred by law, the terms are legal, if you agree to them. And that includes attorney's fees. However, sometimes, courts will add an implied condition of "reasonable" to attorney's fees, which means you might have an out for them trying to charge you for unnecessary attorney's fees. However, not only is the onus on you to prove they are unecessary, you also have to prove how/why a NY court should have jurisdiction over this out of state company.

Than again, filing a small claims complaint (for less than $1k) is only $15. Are you willing to gamble another $15? :)
 

gmcro

Junior Member
for what is worth

I kind of wanted to know from the original poster what is the latest news in his trouble with leasetrader.

I am in a postion to complain about their "services" too:
1. my transfer process halted to stand still after the seller and myself sent the initial paperwork and I got charged the $150 "transfer fee' - after a week of no action from them and of course after being charged the $150 fee as a buyer, I started to make phone calls to make the deal go thru. I complained about the slow process via leasetrader website, and i got an automated reply that they will answerin 72 hours. A week later - no response!
2. several days after I boosted up the process with my phone calls, I was told, again only aftermore phone calls, that my own montly payment will go up another $110 per month, over the advertised price. With the transfer fees, and leasetrader fees, i can go myself to the dealership and get a similar monthly payment for a brand new vehicle ...

Now, my questions will be:
1. can I get them for being veeeeryyyyy sloooow in the transfer process? and
2. can I also get them for false advertising?

Let me elaborate a bit on this second item:
a) they claimed to provide a step by step guidance for the transfer. Well ater a week of standstill I had to make phone calls myself to get the ball rolling
b) since the purpose of the website is to allow a "buyer" to take over THE PAIMENTS, why should I pay more for the transfered lease than the seller? Why did I have to pay the $150 to be told about the monthly overcharge? Isn't this a sort of false advertising?

Just today, I sent another email requesting my money back. I learned by reading posts like this one that they will refuse, but I need some advices for how to fight for my money back.

Did anybody think about a class action lawsuit against this company?

Your input will be greatly appreciated.

Thank you.
 

davezan

Member
Now, my questions will be:
1. can I get them for being veeeeryyyyy sloooow in the transfer process? and
2. can I also get them for false advertising?
You very well can. And they can also stop doing business with you...or worse.

Generally, it's the burden of the one making the claim to demonstrate that.
 

toddk

Junior Member
I have been searching all over the internet for others that have any contact with leasetrader.com. I currently have a car listed with them and, they jacked the lease payment up almost 75.00 a month more then I am currently paying. They did not disclose this to me, and I know that no one will pay this outrageous payment. I wonder if I should contact an attorney. Oh by the way, if you click on contact them, they mis spelled contact... Idiots.

Total mis reprensentation, this company is fraud and all should avoid them!!!

What really sucks is I paid over 450.00 dollars to list with them, what a f'n joke.
 

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