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Dealer wants deposit without gurantee of car availability: Is this sha

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Old 12-10-2005, 08:20 PM
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Originally Posted by kscarrol' post='209862' date='Dec 10 2005, 11:53 PM
Spend time, come on. The dealer can search onthe computer in minutes. Back in Dec 2003 when I ordered my car, the searched available inventory first, at no charge. When nothing could be found matching my specs, I was asked for a deposit before ordering my car.
I haven't ordered a car in a long time. Did you end up with some sort of executory contract pretty much simulateously with ordering your car and giving your deposit? Of course, I know that you would get a receipt for your deposit so that is not what I am asking about.
Old 12-10-2005, 10:50 PM
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When I ordered my car I signed an order form - I guess this is a contract. and gave a deposit, but the dealer said it was optional and would not cash it if I did not want or if I backed out he would cash it. Kind of confused me becasue if he did not say I had to give a deposit then what happens if I back out and if I backed out would not let him keep my money. Guess I did not think about it and didn't argue becasue I was planning onl eaving a deposit anyway.
But I cahnged my order several times and did not sign anything else.

As far as a contract - this is where a little legal knowledge is a dangerous thing - but from what I rememebr a contract does not have to be written - oral contract is fine - though there are some exceptions to this and I am not sure if the purchase of goods is one. The purchase of land is one of the excpetions if anyone cares. Any real legal knowledge would be appreciated.

But what if you decide to change your mind - I doubt they would keep your deposit or force you to buy the car. Or what if you don't qualify for credit - they keep your money anyway?

I think the dealer uses it just to make sure you are serious and not wasting their time.
Old 12-11-2005, 05:10 AM
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Originally Posted by dgjk' post='209900' date='Dec 11 2005, 02:50 AM
When I ordered my car I signed an order form - I guess this is a contract. and gave a deposit, but the dealer said it was optional and would not cash it if I did not want or if I backed out he would cash it. Kind of confused me becasue if he did not say I had to give a deposit then what happens if I back out and if I backed out would not let him keep my money. Guess I did not think about it and didn't argue becasue I was planning onl eaving a deposit anyway.
But I cahnged my order several times and did not sign anything else.

As far as a contract - this is where a little legal knowledge is a dangerous thing - but from what I rememebr a contract does not have to be written - oral contract is fine - though there are some exceptions to this and I am not sure if the purchase of goods is one. The purchase of land is one of the excpetions if anyone cares. Any real legal knowledge would be appreciated.

But what if you decide to change your mind - I doubt they would keep your deposit or force you to buy the car. Or what if you don't qualify for credit - they keep your money anyway?

I think the dealer uses it just to make sure you are serious and not wasting their time.
A problem with oral contracts, of course, it that their terms are difficult to "prove" if one had to do so. And, as you say, they are legal contracts.
Old 12-11-2005, 05:59 AM
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Well, at least I did not have this type of problem where I live (Finland).
All cars are factory ordered, there is no inventory by the dealers.
There is an understandable reason for that. I just checked the 2006
brochure and pricelist, and here are the stats:
-12 exterior color alternatives
-15 interior upholstery alternatives
-6 interior trim panel alternatives
-over 40 individually selectable options

You can combine anything with anything, in terms of colors, trims,
upholstery, and individually selectable options. I calculated that
there are over 1 million possible combinations...
Old 12-11-2005, 06:16 AM
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I say find another.
Old 12-11-2005, 06:32 AM
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Originally Posted by Heikki' post='209965' date='Dec 11 2005, 09:59 AM
Well, at least I did not have this type of problem where I live (Finland).
All cars are factory ordered, there is no inventory by the dealers.
There is an understandable reason for that. I just checked the 2006
brochure and pricelist, and here are the stats:
-12 exterior color alternatives
-15 interior upholstery alternatives
-6 interior trim panel alternatives
-over 40 individually selectable options

You can combine anything with anything, in terms of colors, trims,
upholstery, and individually selectable options. I calculated that
there are over 1 million possible combinations...
Yes, my dealer only stocks about 500k E60's.
Old 12-11-2005, 07:04 AM
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Originally Posted by vnod' post='209873
Spend time, come on. The dealer can search onthe computer in minutes. Back in Dec 2003 when I ordered my car, the searched available inventory first, at no charge. When nothing could be found matching my specs, I was asked for a deposit before ordering my car.
I haven't ordered a car in a long time. Did you end up with some sort of executory contract pretty much simulateously with ordering your car and giving your deposit? Of course, I know that you would get a receipt for your deposit so that is not what I am asking about.
[/quote]

Similar to dgjk, I signed a form to order the car, laying out the options I wanted. I guess that was some form of contract, but of course I did not read any fine print to really understand the details. At that time (dec 2003), my dealer only got 2 545's a month and if I wanted one with my options, he required the deposit. I found that reasonable. My real point was that the dealer did a search of available US inventory for a car w/ my options without requiring a deposit to spend 10-15 minutes at a computer terminal. Once he determined that none were available, we ordered.
Old 12-12-2005, 10:47 AM
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I assure you that the dealer will come back with a car that has most of the options you want - but I'll bet that unless you are getting just the normal options for your region, they will not be able to locate exactly what you want.

Having your money, refundable or not, will make you lean towards just getting what he could find.

In his defense however, I'm betting he doesn't want to go through all the trouble of locating - or even trying to locate a car if you are not serious - and the deposit shows his boss that you are serious.
Old 12-12-2005, 11:00 AM
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It also seems it depends on what options you are ordering. I placed an order for a 530xi silver gray /auburn - The dealer was able to check what was in production or about to be delivered in minutes but I don't know if they have the same ability to check other dealer's current inventory. Since I was in no hurry I was happy to place an order and get exactly what I wanted, I did notice that when the order was placed the invoice mentioned special order - deposit non-refundable. Aparently this is practice since the SG/auburn is not standard and does not sell as easily as a silver/black so the dealers protect themselves in case I back out last minute.

Not my preferred route but at least made some sense - They had on the floor a special order 750i with unusual equipment that was not flying of the showroom floor as all the black/black ones were - it is a nyc dealer after all.
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