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Having a problem getting a deposit back and wondered if any blondes could offer any advice on my position.

I placed an order with a car dealership for a new car on the 28/05/13 which has a Estimated Delivery Date of the 25/06/13.  My GF phoned them last week and told her that they would not be able to deliver the car on this date, and there will be at least a 1 month delay (they have confirmed that as of today the car still hasn't gone into production).  They took a £500 deposit at the time of placing the order which we have receipts of.  They are refusing to refund our deposit saying that its in the terms and conditions that the deposit was non-refunable.  I have checked all the paperwork that we have signed and there is no mention of any kind of non-refundable deposit.

I have spoken to their Business Manager and he told me in no uncertain terms that they would be not be willing to refund the money as they would incur 'Detag Costs' for changing the name on the order (an order that still hasn't gone in to production!!!).  I spoke to another dealership to find out if this was the case and they assured me that there would be no costs incurred for the dealership to cancel my order and that even if it had gone into production, they had never paid more than £80 to do so.

Is the dealership refusing to refund my deposit illegal?  And do I have solid / any grounds of expecting to have it refunded?

You need to give them every opportunity to repay the deposit.
IE put it in writing, give them 14 days to reply . Tell them if they don't comply you will take them to the small claims court. This procedure is very easy, and you can do it online nowadays. It costs little, and basically is a great tool to get companies to pay up before going to see the judge!.If it gets that far....its an informal court, just one judge ,you and them!

FYI...I issued a claim a few months ago against a well known global brand, and rather than ask expensive lawyers to turn up and argue their corner, ....they settled beforehand for the full claim plus my costs and expenses.

If the paperwork doesn't state that the deposit is non-refundable then they haven't a leg to stand on.

Does the paperwork state the agreed delivery date?

It most certainly does.  Though for clarity the item says    Est. Del. Date: 25/06/13

And no mention of non refundable on ANY of the signed sheets that I have in my possession.


I have put it in writing today, but I'm pre-empting them still refusing to repay the money.

Seems like good advice itt

I would also take time to remind them how little £500 of damage is toa car and that their excess on their business insuarance is more than your deposit!

And I'm not joking

Very surprised at the replies.

What do you think a deposit is for? It's to prevent people cancelling on a whim when the other party has made commitments and incurred costs. They have no obligation to give you back your deposit. Why do you think they should? Because you have changed your mind? They could have you for not fulfilling your contract, but it's unlikely they would pursue that.

Your argument is valid.. however is this a matter of principle or do you really not want the car anymore?

if you still want the car then getting your deposit back and ordering it somewhere else will take longer than the quoted extra month.. no ? TBH I order a few cars for my firm each year and I'm nearly always quoted 6-8 weeks delivery as manufacturers are loathe to make cars they haven't got orders for..so the quoted time seems a little early and possibly they gave you a false time frame to ensure you ordered through them..

These things, as they say happen, and if they have a genuine reason for the delay then you have to take a view..OK disappointing and annoying but it comes down to what you really want in the end.. do you want your new car via the quickest route possible or do you feel there customer service has pulled up short of what you would expect and you want to take your business elsewhere? i can understand this if they seem to be as shirty as you indicated..

You seem to have missed the point that they haven't fulfilled their part of the deal (and haven't even placed the order), and no they couldn't make him complete

Maybe read the OP again? It doesn't say that they haven't placed the order - it says it hasn't gone into production. That is not their fault, not that it matters. There is an estimated delivery date. The car won't be ready for a month after that, but they are still going to fulfill their side. If he has had second thoughts and doesn't want to fulfill his side, why should they give him his deposit back? The deposit is their security that he won't do what he is now doing.

We are @ £10K excess

What Franchise is it?

Regards

M

P.S How the F*** do you do this quoting stuff!

This happened to my father in law about 20 years ago when ordering a new BMW 5 series. The delay went on for 3 months and in that time there was a price increase. He complained but got nowhere initially until the chairman of the garage was a patient of his at hospital. He ended up giving £1k in vouchers for servicing etc.

I have been with BMW since 1998. You place the order and you are Price Protected. If the price comes down you win.
You also get any offers available at time of delivery. Sorry to side track.

Regards

M   

The reason we ordered the car was based on the delivery date (we wanted the car before the end of this month).  We can get a pre-registered one (not what we wanted but hey ho) next week.

FWIW I am not looking for peoples personal opinions, just my standing legally with a view to getting the money back.

What brand is it please? If it is pre-reg then there will be loads on the Net. You want them to price match.

If it is Finance you may get more off the car. Clear off within 14 days go on the net for a low rate deal.

Dealers call it deposit contribution. i'e finance with us for another X amount off.


Good Luck

Regards

M
       

Kia.  We have seen a pre reg'd one that we want to buy, but we also feel like we are entitled to our deposit back.  They put a delivery date on the order form and cannot meet it, can't even get anywhere near in fact!!!  Ive been told that other dealerships are telling people September now, and that the dealership will incur no costs if we cancel now.  They told me on the phone it would cost £500 to detag the vehicle (which I have been told is a complete lie).

They are the agents of the manufacturers.  Not only have they failed to meet the agreed delivery date, they haven't made any attempt to deliver or offer any date when the car might be delivered.  In other words they are complete arses of the first order.

I had some correspondence with the branch manager today.  He says he will try and find a car for us before the delivery date and if he is unable to do so, will fully refund the deposit.  Obviosuly we need the car by the end of the month and would need some time to sort out an alternative deal, the delivery date is the 25th (10 days from now) and I have asked if he could let me know by the end of the day.  How much notification does he have to give me before saying he will be unable to deliver the car?  If it's 14 days, presumably he can wait till the delivery date to tell me he can't deliver it?