Details are pretty vague/insufficient so you can't expert any more than guidance as opposed to meaningful advice.
First thing to note is contracts can be oral, in writing or partly oral and partly in writing. In some circumstances they they can be implied. The problem with verbal or implied agreements are it becomes very difficult to enforce the terms of that contract because they aren't clearly defined in writing.
If you have a written contract, first thing i would be looking through would be the terms and conditions. The contract price is the contract price, it cannot be unilaterally varied by the dealer or buyer unless that party has a specific contractual right to do so.
If there is a contractual right, it'll be in the terms and conditions. I would also expect it to say what rights or obligations you have if they choose to exercise that right. I'd be very surprised if you didn't have an ability to terminate.
The best advice i can give you is read the bloody contract.
If its oral and u've paid a deposit, i would go back to the dealer and get the agreement reduced to writing.
If its oral, u haven't paid a deposit and they try to increase the purchase price, just walk away!!
WAS: 03' Holden Astra SriT - 172.7kw/ATW 03-08:
MY10 Subaru Forester XTP 09-12 - SOLD
this is your best and probably only piece of advice you'll need..Originally Posted by AfterBurner
if they try and pass on any increase then just tell them, this wasnt what you agreed to last week, and then tell them you're im going elsewhere..
simple really..
Short answer YOU are responsible for ANY price rises that occur between when you sign the contract and when the car is delivered!!!
It specifically states this in the fine print of ALL new vehicle contracts unless that dealer has had the clause removed which is extremely uncommon
MOST dealers will honor the original price or honor it after you have kicked up a stink over it cause it's not worth them losing a sale over such a small amount when they potentially are losing more than that in holdback payments from the factory not to mention margin in vehicle also
If they won't budge go elsewhere but be prepared to forfeit deposit if car has been ordered and not floor stock !!!
* And yes my company owns 20+ dealerships (i DON'T sell cars) so i know the procedure *
Short answer YOU are responsible for ANY price rises that occur between when you sign the contract and when the car is delivered!!!
It specifically states this in the fine print of ALL new vehicle contracts unless that dealer has had the clause removed which is extremely uncommon
MOST dealers will honor the original price or honor it after you have kicked up a stink over it cause it's not worth them losing a sale over such a small amount when they potentially are losing more than that in holdback payments from the factory not to mention margin in vehicle also
If they won't budge go elsewhere but be prepared to forfeit deposit if car has been ordered and not floor stock !!!
* And yes my company owns 20+ dealerships (i DON'T sell cars) so i know the procedure *
I really believe that this is not fair to the buyer.
I told a friend of mine who has ordered a CDX Cruze(waiting time 3 months) that since the price has gone up $500 since he ordered it that the dealer may hit him for the extra $500 when it arrives.
He said that he was willing to wait up to 3 months as he is loyal to the Holden product and if the dealer asked for an extra $500 to what was negotiated he would be very irate and he would take his business elsewhere.In his words("If this is how they want to treat me for patiently waiting for a car they could not supply they can go an get stuffed")
Why should the buyer have to pay extra when the Car company could not supply the car in a reasonable time.
If anything they should be rewarded for their loyalty(waiting up to 3 months) when they could have purchased another brand a lot quicker.
I think that this clause should be taken out of all contracts.What is the use of negotiating a price only to be told "sorry it is going to cost you more now."
Car companies should be made to give price protection to dealers for cars that have already been ordered.
If you have signed a contract to buy you are legally obliged to honor that contract;
If the contract contains a clause that allows the dealer to increase the price of the product, by signing the contract you have agreed to this condition;
If you have paid a deposit and chose to withdraw from the contract, you will most likely lose that deposit, as the dealer will claim it against cost of getting "your" car to his yard;
You could (and I certainly would!) plead - bet it won't do any good though - and see if they come the party with "absorbing" the price rise or part thereof on your behalf. Threatening to take you business elsewhere probably won't upset the dealer terribly;
If you do choose to take your business elsewhere, you can still lose this deposit - even if you choose to buy the same type of vehicle elsewhere - and the dealer probably still has the legal right to pursue further compensation from you (if he wanted to get real nasty).
Basically, if you have signed a contract you are legally obliged to honor this agreement and purchase whatever you have signed for - just as the dealer is obliged to supply you the product.
Good luck and let us know how this situation ends up.
Old enough to know better . . . Too old to care!
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