Refund my deposit

Steven3456

New Member
Jurisdiction
Texas
Sir/ma'am

My daughter and I were looking for her first car. We contact an owner selling an older Beetle. We put a $1300 cash down payment to hold the car with no other contract besides a receipt stating how much was put towards it and break down of additional payments needed to complete the transaction. This took place in Texas on a Thursday evening. The following weekend was Easter weekend and we were having second thoughts on going further with the sale; upon a more thorough inspection of the vehicle. We decided not continue and I called him that Monday morning stating we were no longer interested and would like our down payment back. He claimed he had an out of state emergency and he would contact me when he had returned. After a few weeks, I called him as a courtesy and told me his lawyer told him he was not obligated to pay me back because the contract (which was never created) stated so. What's the best method to resolve this? Should I take him to small claims court? Do I need to tell him of my intentions as a warning?
 
Your only option is to take him to small claims
Don't expect a miracle
You'll probably get a judgment
Then you'll spend weeks chasing down his assets, only to be disappointed
However, you're free to file that small claims case in the county, place, and precinct where the JP Court sits
 
Your only option is to take him to small claims
Don't expect a miracle
You'll probably get a judgment
Then you'll spend weeks chasing down his assets, only to be disappointed
However, you're free to file that small claims case in the county, place, and precinct where the JP Court sits
Thank you for your time. This helps. How much is it to file a claim?
 
After a few weeks, I called him as a courtesy and told me his lawyer told him he was not obligated to pay me back because the contract (which was never created) stated so.

That's mostly wrong and I suggest not taking legal advice from your enemy.

You have a contract. It's that receipt that says what your first payment (it's never a refundable deposit unless it says so) and what the remaining payments were to be. You don't have to sign it to be a contract and it doesn't have to say contract to be a contract.

You reneged on completing the terms of the contract. That's breach. You did wrong.

However, under contract law, he must mitigate his damages and cannot profit from your breach.

If he sells the car for the same agreed price, he is made whole and you are entitled to your money back (less any reasonable expenses he incurred to sell the car again).

If he sells the car for less than your agreed price, part or all of your money goes to make up the difference.

Small claims court is the place to take this to. I don't find anything (so far) to suggest that Texas requires a written demand before you sue so it's up to you if you want to send one or just go right to the lawsuit.

The Dallas County website has a guide, forms, instructions, and a fee schedule. I provide that link as an example. You would, of course, go to your own county small claims website for similar information:

JP 3-1 Small Claims

In your complaint you will allege that he has failed to mitigate and has profited from your breach.

If, by the time you get to court, he still has the car, you might get a judgment against him. If he has sold the car he will have to prove it and prove how much he sold it for and, if for less than your agreed price, he will have to explain himself.

Feel free to come back to this thread if you have any more questions.
 
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