Legal Question in Consumer Law in California

Changes on the new car sale contract

A few days ago I purchased used 2003 car. It's still has 2year/20,000 miles original warranty on it. The finance manager persuaded me to purchase additional extended warranty and security system. After reading Contract carefully at home, and doing some research on the Internet, I realized that, 1st) they added these charges to my loan, that significantly increased it, 2nd) I could get the warranty and security system for a lot less. I called the finance manager and said that I would like to cancel extended warranty, he agreed, but gave me a hint, that since I got such a ''good deal'' on the car and a low interest rate on the loan, they may increase the price of the car and interest rate. Can the dealership do that? Is it legal? Also on extended warranty, the Contract says that if cancelled ''Seller may keep part of these amounts''. How much can they keep? Certain percentage, whatever they want? Is there any regulations for Autodealership practices?

This is the last time I am buying car at the dealership!!!

Thank you.


Asked on 10/31/03, 4:42 am

1 Answer from Attorneys

Alvin Tenner Law Office of Alvin G. Tenner

Re: Changes on the new car sale contract

No they cannot change the car terms. The seller can keep a reasonable amount but this amount is uncertain.

Read more
Answered on 10/31/03, 3:31 pm


Related Questions & Answers

More Consumer Law questions and answers in California