Legal Question in Business Law in California

breach of verbal contract?

My friend was going to buy a car today. She has been to the dealer several times as well as spoke to them on the phone. Last week she went in to get a PO so she could receive a loan from the bank. They asked her to fill out a credit application (for her information), she did...but she did not sign it. She called the dealership today, when the check was issued from the bank, and they called her back saying her car was ready to pick up. When she went in to pick it up, they said the car had been sold, and they tried to sell her another car for more money. They said that b/c she didn't sign the credit ap, she was not garanteed the car. Can a verbal agreement that has gone this far in the process act as a binding legal agreement? What can she do to get the car she wanted?


Asked on 9/03/03, 12:46 am

2 Answers from Attorneys

Donald Holben Donald R. Holben & Associates, APC

Re: breach of verbal contract?

I would first advised your friend to go to another auto dealer. I'm sure they can find the car she wants. Then call the District Attorney. This is a tactic used by various dealers. 800-685-6950

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Answered on 9/03/03, 1:02 pm
Robert F. Cohen Law Office of Robert F. Cohen

Re: breach of verbal contract?

An attorney would need to know more. The exact timing of each statement and the content of each statement are critical to a legal analysis. Was your friend quoted a price, terms of financing, and did she accept? These are some questions that need to be reviewed and analyzed.

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Answered on 9/03/03, 4:39 am


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