Rescind Car purchase/contract

[KumarB0810]

Jurisdiction

Texas

I wanted to buy a car and went to a nearby dealer and completed the paperwork(31st December 2025) to buy a car Volvo car and paid $3000 down payment. After coming home, we decided to buy 2026 model car. So, I wanted to cancel the contract/purchase.

On 31st​ December 2025:
1. completed the paperwork
2. $3000 down payment paid
3. No paperwork was sent/given to me
4. No payment receipt was given
5. No Vehicle delivery

I sent an email to dealership on 2nd​ Jan 2026 to cancel the purchase and contract related to it. They said there's no option to rescind the contract. I replied to them saying that Under Texas Finance §348.111 we should be able to cancel the contract if the vehicle was not delivered and didn't get copies of any executed contract.

After that they didn't respond. Today 1/20/2026, I got couple of mails from Volvo Financial Services. So, I called and asked them about the account/funding on my name. They told that there is an active account on my name and due date for the 1st​ payment is Feb 1, 2026 and told me contact dealer if I have any questions/issues.
What's the best thing to do now

 

[adjusterjack]

Sue in small claims court for the refund and rescission of the contract. When you get the judgment, provide a copy to the finance company.

Hope that the dealer has no evidence of "mailing" the contract to you.

https://law.justia.com/codes/texas/finance-code/title-4/subtitle-b/chapter-348/subchapter-b/

Chapter 348 - Motor Vehicle Installment Sales
Subchapter B. Retail Installment Contract
Section 348.111. Buyer's Right to Rescind Contract
Until the retail seller complies with Section 348.110, a retail buyer who has not received delivery of the motor vehicle is entitled to:

(1) rescind the contract;
(2) receive a refund of all payments made under or in contemplation of the contract; and
(3) receive the return of all goods traded in to the retail seller under or in contemplation of the contract or, if those goods cannot be returned, to receive the value of those goods.

Sec. 348.110. DELIVERY OF COPY OF CONTRACT. A retail seller shall:

(1) deliver to the retail buyer a copy of the retail installment contract as accepted by the retail seller; or
(2) mail to the retail buyer at the address shown on the retail installment contract a copy of the retail installment contract as accepted by the retail seller.