Washington - Breach of Contract - Bushing???

[TMAN]

I purchased a car from a used car dealer (part of a large new car dealer chain) in the Seattle area early July. When i purchased the car i advised the dealer that with the larger down payment they needed, as long as they were willing to work with me i would be willing to do the deal. The papers were all signed and executed early July, with a postdated check (dated late July) for the down payment. I was laid off late July, and the dealer still processed the paperwork and secured funding from GM Financial August 1st. I had several text messages back and forth from the dealer when they were working to get me funded. I also had text messages with the Manager regarding trying to get payments in towards my down payment. I had since made my payment to GM Financial. I then received a text message from the dealer advising that the owner found out about the deal and that they were going to have to back out the deal if i couldn't come in and clear my deposit. While i have every intention of clearing my deposit, with the job transition it's going to take me another month or two. However, I did make my car payment. I have the car but am driving on a temp registration because the dealer did a Title Purchase Only and put me as the registered owner and the dealer as the owner/lienholder vs. GM as the lien holder. I've now found out today that GM backed out the deal for the dealer.

My understanding is that in WA State Bushing law says that after 4 days there are no modifications allowed in any way. There should be no recourse from the dealer as it's now assigned to and funded by GM. Regarding the postdated check, as far as I've found, postdated checks are a reflection of an extension of credit (and I will make payments, perhaps not as substantial as the dealer would like to see). My agreement says I paid my deposit in cash. I'm torn, as I've already made a payment, have the official paperwork and release of title documentation showing GM as the lien holder and me as the registered owner/purchaser. Being that I just changed jobs I'm not going to be able to finance another car right now, and i need this car to do my job. Do i have any recourse since the Dealer had GM back out the contract and funding? It was funded for well over a month, and was technically over 2 months since the agreement was executed. I'm sure I have to act quickly now if I'm going to try and stand my ground. I appreciate any insight or advice... Thx!

 

[TMAN]

I should also note, that I purchase a second vehicle the same week, and they were happy to hold that one until the end of July until i brought in 10K (between my trade and cleared my other post dated check). They also ran this deal through July 31st/Aug 1st along with the car they are now backing out.

 

[disagreeable]

It also appears reading between the lines, you committed fraud and wrote a bad check.

 

[mightymoose]

Your answers are in your contract. Sometimes there are specific clauses that explain how and when the dealer can cancel the contract.
I agree that you likely committed a form of check fraud. You better hope everything clears.
The dealer may find valid reasons to repossess the vehicle. The more you communicate with them and keep your payments current the better you can prevent that from happening.

 

[TMAN]

Thanks for the responses. At the bottom of my contract it states that the seller assigns its interest in this contract to GM, assigned without recourse (not with recourse, or limited recourse). This simple fact should override their position on the contract as they've relinquished their position on the vehicle and ownership of the vehicle. Since they indicated I had a cash deposit on the official agreement and the Bill of Sale, and they were funded in full by GM, shouldn't the contract stand pact and the dealer just have to deal with me regarding the balance I owe them for the check? WA state DMV law states that the contract is not available for modification in any way after 4 days (again, they were funded aprox 43 days prior to having GM back out the contract). Now because of the inconvenience, they decide they would rather back it out and try to sell the car to someone else. As far as the check, it is not illegal in Washington to postdate a check, as long as there is no illegal intent. There is no law preventing you from writing a check for a future payment as long as you have no illegal intent in writing the check. There was no mal intent, I had a postdated check for each car, I cleared the first one, and due to the layoff (beyond my control), my payments were going to be delayed on the second one. I demonstrated my desire to honor the postdated check by clearing the first one while I was unemployed, and in working with the manager on the second one (and still have every intention to, once I know my ownership has been solidified).

 

[disagreeable]

The intent is there. It was formed when you decided not to honor the payment requirement of the bad check you wrote.