Car deal

[libertytom]

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

I was going to sell my truck,I found abuyer and collected a small deposit until he could secure a loan. I changed my mind and have decieded not to sell my truck to anyone. Heis now threatening to sue me in small claims court. We had no contract only a recipt was given to show deposit and balance due. Does he have a case?

 

[Antigone*]

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

I was going to sell my truck,I found abuyer and collected a small deposit until he could secure a loan. I changed my mind and have decieded not to sell my truck to anyone. Heis now threatening to sue me in small claims court. We had no contract only a recipt was given to show deposit and balance due. Does he have a case?

Did you give him back his money?

 

[libertytom]

Yes I voided the check and returned it by mail

 

[justalayman]

We had no contract

Really? What would you call the two of you agreeing to terms and evidenced by the down payment?

I don't know if Kansas provides for injunctive relief though. If they don't, small claims court would do nothing. If they do, they could order you to sell the truck.

 

[libertytom]

I see your point but it was more of adeposit then a down payment. There was no guarantee on his end that he could secure the loan.
I wish I did not have to make the decision I did. I know he was disapointed and pissed off.
From what little research I did on Kansas small claims court. They focus on disputes of $$$ and property up to $4000. No one was out any $ and the property,which was never his, is valued over $4000

 

[libertytom]

A shameless bumb for a couple of more opinions

 

[justalayman]

I see your point but it was more of adeposit then a down payment. There was no guarantee on his end that he could secure the loan.
I wish I did not have to make the decision I did. I know he was disapointed and pissed off.
From what little research I did on Kansas small claims court. They focus on disputes of $$$ and property up to $4000. No one was out any $ and the property,which was never his, is valued over $4000

well, now you mention the financing, here is what you posted in the first post:

collected a small deposit until he could secure a loan.

If that was the understanding, there no automatic extinguishment if he couldn't get a loan currently. It was a standing loan until he could secure a loan.

I think you are back to the court being able to provide injunctive relief or not. I still don't have an answer to that question but many small claims courts do not.

 

[libertytom]

Thanks, I will investigate further the ability of smal claims to provide"injunctive relief". From what I read they only award monetary damages or settle property disputes up to 4k. Thanks again

Another piece to this is that the deposit check was not signed by the buyer. I did not realize this until I sent it back to him. That would make the deposit check a worthless form of payment. Might not matter,I don't know one way or the other

 

[patstew]

Did you photocopy the check before you sent it back?

 

[libertytom]

Unfortunatley I did not. It would become a case of my word against his. I did put an X across the face of the check as welll as wrote VOID where the signature should have been. I did this to make sure the check which I mailed back could not be cashed by anyone. There would be nothing from stopping him at this point from creating a new check with a signature if he so desired. I would know if he chose to do so but I could not prove it in court.

I am hoping this will go away on it's own. I feel bad for having to back-out but it was what I needed to do.

 

[justalayman]

or he could just sign the old check. It would be difficult to prove which mark was first.

 

[Willlyjo]

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

I was going to sell my truck,I found abuyer and collected a small deposit until he could secure a loan. I changed my mind and have decieded not to sell my truck to anyone. Heis now threatening to sue me in small claims court. We had no contract only a recipt was given to show deposit and balance due. Does he have a case?

The prospective buyer gave you a check for a small deposit and you gave him a receipt stating the "balance due". If the prospective buyer has the balance which he wants to pay you and you refuse, that could be enough to make you liable for breach of contract.

Sure the check wasn't signed but the receipt says a deposit was accepted and that a balance is due. This gives the prospective buyer cause for a breach of contract against you.

At the least, if the receipt isn't regarded as a written contract, then for sure it implies an agreement between buyer and seller which at least, makes it an implied contract.