Hi guys,

I really need an advice regards to this issue.

I went one of thw mercedes dealer and signed the contract with $1,000 deposit for custom ordering a car.

So waited a couple days for an approval, but i was told that i have to wait 5months to receive a car.

I went back to the dealer to cancle order, and decided to take one of their in-stock car in their showroom

So the deposit is passed on the new contract and i signed for that vehicle.

But next day, the salesman called me saying that the buyout for my exisiting vehicle (was doing a trade in) is a way up high than what we have quoated (lack of information). I had to pay $12,000 to get the new car. So he sent me the new contract with proper numbers which i DIDNT SIGN.

It was still too much of money that i have to pay upfront. So I went back to cancel the deal and letting them to deduct any liquidated damages from my deposit that may have occured.

They were saying "no no we will try to make a deal, just wait here" they came back with the better contract deal than ever. They were offering me that they would cover $12,000 for my buyout to waive everything ( bascially they would like to stay with the 2nd contract which is signed)

I asked them hows that possible, they are selling the brand new 2014 car no driven for $12,000 less.
This made me even more uncomfortable, more likely feel im getting scammed.

All they said was "i dont know, i never seen this kind of deal before, is a big blow out, $12,000 saving for the brand new car? You should sign this"

I told them "my decision is already made, i have no interest at all, just deduct any liquidated damages from my deposit like what the contract says"

The salesmanager said "ok, i will pass on to the general manager"

So i asked again "how much the liquidated damage would be in general?"

He said "i dont know a thound dollar?"

I was like wtf... is he just saying a thound dollar because i made $1,000 deposit?

He would have just call out a ten thounsand dollars dsmages if i made $10,000 deposit?

So this is the story and i have questions

Can they charge me liquided damages more than my deposit? On the back of the contract

It says, if i fail to take a possession of the car or failure on delivery, the dealership is entitled to deduct any liquidated damages from my deposit. Does this also mean the damage has to be settle within $1,000(my deposit)?

At this point, i really dont care if they choose to eat my $1,000 but im worried about they might asking me more than a deposit? How much is a liquidated damage in general?

Nothing was done to the new car (no detailing, no ownership transfer)

Test drove a car? Time wasted with their dealers? Maybe admin fee?

What should i say to them if i want at least a portion back?


Any advice would help.

 

I think you're best advised to see a lawyer. As you describe the situation it may be possible for them to charge you any amount they wish. Get to a lawyer who can send them a letter threatening suit.

 

as far as i know a deposit is to make sure you want the car, else it is not refundable... now that you don't want the car.. they get to keep the deposit... simple as that.
but i am curious who can screw up an estimate of your trade in by $12000... i mean $1200 i would understand.. but $12000.. that's like a whole different trim level or more...

 

Too little information to provide better advice - having said that

1) a deposit may or may not be refundable - what does the original contract say?
2) was the original contract cancelled as "mutually agreeable"? Was it even cancelled? How do you know?
3) the new contract when signed by you is your obligation - unless some things were added/deleted after you had signed the document
4) there is enough $$$ involved to get some quick legal advice - buy an hour - lay out the facts succinctly and go from there.

Something weird with a 5 months delivery - was this perhaps a bait and switch from the outset?

Good luck