Auto Contract?

[cmbmom]

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

We needed another car, got preapproved from the credit union, went shopping and found a used car we liked at a large local dealership with several new/used lots of various brands.

We negotiated via e-mail with the car dealer on price and they knew we were pre-approved from our lender. When I checked e-mail Saturday morning, I had 2 new e-mails from the dealer. First e-mail says they will accept my offer and asked when could I come in. Second e-mail, time stamped about 1 hour later says there is someone else out test-driving the car and they will let me know the status. Today (3 days later) I receive an e-mail from the dealer stating the car was sold and offering to show me a different car on their lot. The original car still shows up on their website, but I understand that might take a few days to be taken down.

Did I have a contract with the dealer when they accepted my offer? What can be done about it? The other car they are wanting to show me is ok, but not as good to us as the original car we chose (different brand). I'm sure they will want to renegotiate since it is a different car.

 

[Zigner]

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

We needed another car, got preapproved from the credit union, went shopping and found a used car we liked at a large local dealership with several new/used lots of various brands.

We negotiated via e-mail with the car dealer on price and they knew we were pre-approved from our lender. When I checked e-mail Saturday morning, I had 2 new e-mails from the dealer. First e-mail says they will accept my offer and asked when could I come in. Second e-mail, time stamped about 1 hour later says there is someone else out test-driving the car and they will let me know the status. Today (3 days later) I receive an e-mail from the dealer stating the car was sold and offering to show me a different car on their lot. The original car still shows up on their website, but I understand that might take a few days to be taken down.

Did I have a contract with the dealer when they accepted my offer? What can be done about it? The other car they are wanting to show me is ok, but not as good to us as the original car we chose (different brand). I'm sure they will want to renegotiate since it is a different car.

I would suggest that you look up the 3 elements required for a contract. Read on that, then come back if you have any further questions.

 

[Mass_Shyster]

Did I have a contract with the dealer when they accepted my offer?

If you had decided not to go through with the deal, could the dealer have sued you?

My guess is the answer is no to both questions.

 

[sandyclaus]

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

We needed another car, got preapproved from the credit union, went shopping and found a used car we liked at a large local dealership with several new/used lots of various brands.

We negotiated via e-mail with the car dealer on price and they knew we were pre-approved from our lender. When I checked e-mail Saturday morning, I had 2 new e-mails from the dealer. First e-mail says they will accept my offer and asked when could I come in. Second e-mail, time stamped about 1 hour later says there is someone else out test-driving the car and they will let me know the status. Today (3 days later) I receive an e-mail from the dealer stating the car was sold and offering to show me a different car on their lot. The original car still shows up on their website, but I understand that might take a few days to be taken down.

Did I have a contract with the dealer when they accepted my offer? What can be done about it? The other car they are wanting to show me is ok, but not as good to us as the original car we chose (different brand). I'm sure they will want to renegotiate since it is a different car.

I would suggest that you look up the 3 elements required for a contract. Read on that, then come back if you have any further questions.

Just for fun, the 3 elements of a contract are offer, acceptance, and consideration.

While you might be able to argue that offer and acceptance took place, no consideration took place. No money changed hands, no legal contract was signed. The 3rd element was never completed.

If you had decided not to go through with the deal, could the dealer have sued you?

My guess is the answer is no to both questions.

Yup. Happens all the time.

 

[Zigner]

Yup. Happens all the time.

Dealers sue folks who don't buy cars in the type of situation posited?

 

[Mass_Shyster]

no consideration took place. No money changed hands, no legal contract was signed.

You may want to take another look at Hamer v. Sidway

 

[OHRoadwarrior]

You may want to take another look at Hamer v. Sidway

The law in NY is not the law in MO. I would expect a case over 100 years old to not have complete relevance to current legal statutes. If it did, in MO, we could go back another 50 years when men were shot for violating verbal contracts.

 

[tranquility]

Stevef was talking of consideration. That he supplied a very old case was to make the point that consideration does not have to change hands at the time of acceptance to be considered consideration. There is clearly consideration in the purported contract. The state is not really relevant as the concept is the same in all common law states and countries.

 

[OHRoadwarrior]

OP never accepted the original offer before it was rescinded I would argue it was not signed as required by MO UCC. Specifically addressing 2-201 and 2-206. Further OP does not appear to have any quantifiable damages.

http://www.moga.mo.gov/statutes/c400.htm

 

[BL]

Are they offering just one other vehicle with all them lots ?

Is there only one other vehicle they have within the lender dollar limit loan amount ?

Maybe look around somewhere else ....if you do not like the offer , or maybe negotiate a lower sale on another vehicle with a little higher price .

I and my lender negotiated my recent auto purchase purchase $300.00 something lower and to include taxes and DMV fees.

The longer a vehicle sits there the more money it's costing them.

 

[swalsh411]

All this talk of the elements of a contract very interesting but the real world answer for the OP is that the dealer is in the business of selling cars, and when a buyer comes along with money they will sell a car to them. They aren't going to not sell somebody a car because somebody else may be buying it. OP just needs to find another car.

 

[tranquility]

OP never accepted the original offer before it was rescinded I would argue it was not signed as required by MO UCC. Specifically addressing 2-201 and 2-206. Further OP does not appear to have any quantifiable damages.

http://www.moga.mo.gov/statutes/c400.htm

Actually, from the OP's story, he was the one to make the offer. One question would be is if the email accepting the offer would count as a signature under the electronic signature act or be enough of a writing to remove it from the statute of frauds.

"Quantifiable damages"? How would you know? Certainly there is some time factor involved. Maybe more too. Heck, if there is a contract, he could buy the exact car from another dealer as "cover" and charge this dealer for the difference. But, damages are not the issue here nor an element to a contractual breach as they are in negligence.