Car Dealership Refuses to honor Ebay sale

[Smadoo]

I hope this is not a re-post. If it is then ignore/lock this thread.(or not I really don't care.)

I ran across this on another website and wanted to throw it up here for all to see.

A Dodge dealership in California listed a new Dodge Challenger SRT8 on ebay without a reserve, but when the winning bid came in at 10-15k below the list price the dealership is refusing to honor the sale(they are saying that there was a reserve on the car but it dissapeared). I believe the buyer has contacted the attorney, but the dealer is trying to find every loophole they can to get out of the deal.

What say the wise people of the DisBoards, Should the dealer sell at the low price or not?
Challengertalk.com

Jalopnik Article

 

[FireDancer]

As much as the seller should honor an auction where they set the wrong price (or lack of reserve) I would back out if I was about to lose $15K and take the negative feedback hit. I'm sure as heck not about to bleed that much money because I forgot to check a reserve box. Accidents happen. I'm pretty sure the bidder realized what he or she was doing to and tried to take advantage of a simple mistake.

I don't know if there is any legal remedy outside of eBay. If a store mis-labels something on their shelves if they have to honor the incorrect price under penalty of the court or if it is simply a customer service call? Whether the wrong price is an attempted bait and switch or a legitimate accident may come into play.

I'm sure a real Dis lawyer will weigh in eventually.

 

[manning]

As much as the seller should honor an auction where they set the wrong price (or lack of reserve) I would back out if I was about to lose $15K and take the negative feedback hit. I'm sure as heck not about to bleed that much money because I forgot to check a reserve box. Accidents happen. I'm pretty sure the bidder realized what he or she was doing to and tried to take advantage of a simple mistake.

I don't know if there is any legal remedy outside of eBay. If a store mis-labels something on their shelves if they have to honor the incorrect price under penalty of the court or if it is simply a customer service call? Whether the wrong price is an attempted bait and switch or a legitimate accident may come into play.

I'm sure a real Dis lawyer will weigh in eventually.

Remind me not to ever do business with you.

I was watching an interview a few months back with Jon M. Huntsman. He owns a chemical company. He related when he was selling a part (I think it's been a few months) of the company to another company. The lawyers were dragging their feet closing the sale. In the meantime what he was selling shot up in value. It was a large increase. The buyer made a new offer to increase the sale price. Jon M. Huntsman refused stating they shook hands on the price and that is what he will sell it for. He lost a lot of money on it, but he kept his word.

His reputation is world wide.

Also sales of diamonds at diamond exchanges are conducted with a handshake.

Dealerships make money also on servicing cars. Now do you think the buyer would go there for service? I wouldn't. Matter of fact I just bought a new car based on a good deal and the service department (price, honesty, and quality of work)

Your are only as good as your word.

 

[kaytieeldr]

I'm not saying the dealership is right or wrong - although neglecting to check the "reserve" box and then neglecting to reconfirm that the listing was satisfactory and met all the seller's conditions immediately (and not taking it down right away when realizing this glaring error existed) IS the seller's responsibility/fault.

That aside, though - what buyer in their right mind, even if the sale is upheld, would WANT the dealer to provide service on that car? I'd be afraid. Very afraid

 

[jlewisinsyr]

A completed auction is considered a binding sale agreement, so the bidder has every right to pressure the dealership. It's not hard to tell if your EBay sale has a reserve, and I think there is even a warning towards the posting process.

This has come up a few times with other dealerships and in the end from recollection most give up after awhile and just finalize the sale, between the legal ramifications and customer service issues (not even with just the bidder, as often they'll never see the dealership outside possibly picking up the car - but with locals who see the articles in their papers).

 

[FireDancer]

The guy who won the auction had posted on a message board before hand that he noticed the error and was trying to get the car far under value. I find that dishonesty far worse then a mistake on the dealer's part. Had he brought it to their attention and they did nothing to fix it then I would change my mind.

I can't stand when people try to take advantage of someone else's error for their gain.

 

[jlewisinsyr]

The guy who won the auction had posted on a message board before hand that he noticed the error and was trying to get the car far under value. I find that dishonesty far worse then a mistake on the dealer's part. Had he brought it to their attention and they did nothing to fix it then I would change my mind.

I can't stand when people try to take advantage of someone else's error for their gain.

I agree it is very unfortunate people are dishonest about things like this, I guess everyone has a price for morality (sadder part is, some people have even lower ones).

That said, I think there is a balance, if the person knew that the intent was to have a reserve (auction description), but there was no indication of one, then I think it is appropriate to hold the person to some standard of honesty. If however there was no indication that there should have been a reserve then I think like any auction you ultimately are trying to buy the object/product/service at the lowest price and it is assumed in an auction setting you will do your best to do just that.

 

[dakcp2001]

I purchased a car on ebay (I live in Mass) for under value (about 6K under)and I flew down to Fl to pick it up. When I got there, well after they had been paid in full they said they could not sell it to me since they think they can sell it for more on their lot. They were trying to convince me to sign paperwork agreeing to literally double the price (which would have made them get well OVER value) My dad called a lawyer and they had to sell it to me. EBay is a binding contract. I think maybe cuz I had already paid? They did cancel the warranty and cause me all sorts of other hassles, but overall I got a great deal on the car. I also reported them to the BBB and FTC after all the trouble they gave me.

Firedancer, I was not being dishonest or trying to take advantage, if they want to sell a car fast, as long as I do my due diligence to make sure there is nothing wrong with it, then it is on them. If it were going far under market value, I would assume there was a problem with the car or title.

I think in this particular case, since they did not take the money from the customer and they attempted to cancel right away they may legally be ok cancelling the sale, but I have to say I will NEVER side with a car dealer ever. From my experience being a woman and how they always treat me when I go to buy a car (like being female = total car ignorance) I will always cheer on anyone who can stick it to them. TAKE THAT CAR DEALER!

 

[jlewisinsyr]

I purchased a car on ebay (I live in Mass) for under value (about 6K under)and I flew down to Fl to pick it up. When I got there, well after they had been paid in full they said they could not sell it to me since they think they can sell it for more on their lot. They were trying to convince me to sign paperwork agreeing to literally double the price (which would have made them get well OVER value) My dad called a lawyer and they had to sell it to me. EBay is a binding contract. I think maybe cuz I had already paid? They did cancel the warranty and cause me all sorts of other hassles, but overall I got a great deal on the car. I also reported them to the BBB and FTC after all the trouble they gave me.

I bought my Volvo S80 on Ebay from a dealer in Ohio (I live in NY). It was $6,000 less then the dealer wanted, but they had a clear Buy-It-Now and reserve noted. I choose the Buy-It-Now, but I'm sure the reserve wasn't far off from that. I had a great experience with the company (and would DEFINATELY do business with them again), but I have heard time and time again about dealers not realizing their obligation to a legally binding sale.

 

[FireDancer]

I purchased a car on ebay (I live in Mass) for under value (about 6K under)and I flew down to Fl to pick it up. When I got there, well after they had been paid in full they said they could not sell it to me since they think they can sell it for more on their lot. They were trying to convince me to sign paperwork agreeing to literally double the price (which would have made them get well OVER value) My dad called a lawyer and they had to sell it to me. EBay is a binding contract. I think maybe cuz I had already paid? They did cancel the warranty and cause me all sorts of other hassles, but overall I got a great deal on the car. I also reported them to the BBB and FTC after all the trouble they gave me.

Firedancer, I was not being dishonest or trying to take advantage, if they want to sell a car fast, as long as I do my due diligence to make sure there is nothing wrong with it, then it is on them. If it were going far under market value, I would assume there was a problem with the car or title.

I think in this particular case, since they did not take the money from the customer and they attempted to cancel right away they may legally be ok cancelling the sale, but I have to say I will NEVER side with a car dealer ever. From my experience being a woman and how they always treat me when I go to buy a car (like being female = total car ignorance) I will always cheer on anyone who can stick it to them. TAKE THAT CAR DEALER!

It does sound like you were screwed in your case and I think they were wrong. I think the case here is factually different, at least the facts I know. I hold both the consumer and the company to the same level of integrity. My gut tells me this was a mistake by one party and the other knowingly attempted to take advantage of it. Regardless of which party was which I think the integrity problem is with the one who intentionally takes advantage as opposed to the one who makes a simple mistake.

Now, if there are facts I don't know, which is entirely possible, I may change my opinion. That is all it is of course, an opinion. I have no dog in this fight but don't like the passive aggressive nature of taking advantage of a mistake.

 

[Lisa loves Pooh]

While the buyer may have known something was up--it is the duty of the seller to make sure their posting is correct.

Whether it is a misposted price on a can of beans or a car---

There is opportunity to say "oops" my error--and post signs accordingly--but to let a sale sit and sit and sit and then someone swoops in and buys it--that's the problem of the seller and not the buyer.

 

[Kathi OD]

I'm with the buyer on this one. The dealership not only should have made sure they checked the reserve before submitting the auction, but also afterward. Seems as thought the seller thought they would get far more for the car in an open bid than they did. That error is on them.

FWIW, several years ago DH and I were looking to purchase a new car. I had a basic idea of what I wanted and what I wanted to pay, but was open to different makes/models. Looking online I found something that I would be interested in, but was listed for quite a bit less than I thought it should be. I thought for sure it had to be a typo. I called the dealership to inquire about the price and was assured that yes, that indeed was the price for that specific car, and it had all the equipment that the ad listed.

When DH got home from work, we drove to the dealership and located that specific car (the VIN number had been listed in the online ad). The car was tagged as a "red tag special" with a price $12,000 more than what was listed online. The salesman told us that there were no further deals on the car and that the red tag price was the absolute lowest price, since that price was already discounted $9000. I then showed him a printout from the internet, showing the same car at the lower price, and explained that I had called earlier in the day and was assured that yes, the car was selling for the price on the internet. After waiting quite a long while, the salesman returned and we got the car for the price on the internet.

Were we wrong to take advantage of a mistake by the dealership? I don't think so. The dealership obviously did not take the opportunity when I first called to be diligent and make sure that there were no mistakes in the ad. We got a great deal, and the dealership got some free advertising with regard to customer relations, as well as a loyal customer.

 

[cheermom1]

I purchased a car on ebay (I live in Mass) for under value (about 6K under)and I flew down to Fl to pick it up. When I got there, well after they had been paid in full they said they could not sell it to me since they think they can sell it for more on their lot. They were trying to convince me to sign paperwork agreeing to literally double the price (which would have made them get well OVER value) My dad called a lawyer and they had to sell it to me. EBay is a binding contract. I think maybe cuz I had already paid? They did cancel the warranty and cause me all sorts of other hassles, but overall I got a great deal on the car. I also reported them to the BBB and FTC after all the trouble they gave me.

Firedancer, I was not being dishonest or trying to take advantage, if they want to sell a car fast, as long as I do my due diligence to make sure there is nothing wrong with it, then it is on them. If it were going far under market value, I would assume there was a problem with the car or title.

I think in this particular case, since they did not take the money from the customer and they attempted to cancel right away they may legally be ok cancelling the sale, but I have to say I will NEVER side with a car dealer ever. From my experience being a woman and how they always treat me when I go to buy a car (like being female = total car ignorance) I will always cheer on anyone who can stick it to them. TAKE THAT CAR DEALER!

ITA, the last time my dh and I went to buy a car they refused to tall to me or even shake my hand. When it was time for us to pick up the car they refused to let me have it and said only my dh was allowed to drive the car??? My dh was beyond mad! I went home and thought about and called them and asked for the head of the car dealership and explained the situation and he was falling all over himself apologizing to me and gave me 2 free tanks of gas and told me to come back up there he would personally release the car to me! And yes BOTH of us were on the note! It was so very rude for him to that to me and I do know that when I went to pay the payments a few times that I was near the place to save a stamp he was not there.

However in this case I am kinda with Firedancer but at the same time I think the dealership needs to comprise as well. I think they both were shady in my opinion. I wonder if there is more to this?

 

[Praying Colonel]

If the tables were turned and the dealer was selling the car for much more than it was worth, and the consumer wanted out, the dealer would laugh at him or her and then sue if the consumer backed out.

 

[dakcp2001]

If the tables were turned and the dealer was selling the car for much more than it was worth, and the consumer wanted out, the dealer would laugh at him or her and then sue if the consumer backed out.

ITA! This is 100% correct!

I think it is a good dose of car dealership "Karma". They rip people off all the time.

 

[dakcp2001]

ITA, the last time my dh and I went to buy a car they refused to tall to me or even shake my hand. When it was time for us to pick up the car they refused to let me have it and said only my dh was allowed to drive the car??? My dh was beyond mad! I went home and thought about and called them and asked for the head of the car dealership and explained the situation and he was falling all over himself apologizing to me and gave me 2 free tanks of gas and told me to come back up there he would personally release the car to me! And yes BOTH of us were on the note! It was so very rude for him to that to me and I do know that when I went to pay the payments a few times that I was near the place to save a stamp he was not there.

However in this case I am kinda with Firedancer but at the same time I think the dealership needs to comprise as well. I think they both were shady in my opinion. I wonder if there is more to this?

I love how when I go to the dealership with DF they look at him, talk to him, address him, and when I ask a question they answer HIM. They all do it! If you want to feel invisible ladies, head to the dealership with a man. They do all the selling the him. I can tell within the initial greeting and 5 minutes if I will buy from the salesman or not.

Men you will never understand the fury that this causes. Watch out!

 

[robinb]

Hmmm ... I am not an expert on contract law but the seller may have the option/rights to cancel the contact within a certain amount of time (24-48 hours?) as the buyer does. The auction ended on March 12 and the poster on the Challenger BB wrote about the dealing wanting to cancel less than 24 hours later.

 

[robinb]

I love how when I go to the dealership with DF they look at him, talk to him, address him, and when I ask a question they answer HIM. They all do it! If you want to feel invisible ladies, head to the dealership with a man. They do all the selling the him. I can tell within the initial greeting and 5 minutes if I will buy from the salesman or not.

Men you will never understand the fury that this causes. Watch out!

Why buy from a dealership like that? If you allow the salespeople to get away with that kind of crap they will continue to do it since it gets them a sale.

I did ALL the car shopping for our last car. My DH didn't come with me until we were ready to buy and he made it clear to the salesperson that I was the one in charge of the sale. I got exactly what I wanted .

 

[Kathi OD]

I love how when I go to the dealership with DF they look at him, talk to him, address him, and when I ask a question they answer HIM. They all do it! If you want to feel invisible ladies, head to the dealership with a man. They do all the selling the him. I can tell within the initial greeting and 5 minutes if I will buy from the salesman or not.

Men you will never understand the fury that this causes. Watch out!

Wait until DF (or DH in my case), tells them to talk to you because the car will be in your name. Talk about offensive...We actually had one salesman say (and still not to me), "does she make enough money to qualify for the loan?" Poor DH. He replied, "yes. In fact she does, but I'm pretty sure that she won't be buying here." After 30 years of marriage, the man does know my temperment pretty well.

 

[Robinrs]

I love how when I go to the dealership with DF they look at him, talk to him, address him, and when I ask a question they answer HIM. They all do it! If you want to feel invisible ladies, head to the dealership with a man. They do all the selling the him. I can tell within the initial greeting and 5 minutes if I will buy from the salesman or not.

Men you will never understand the fury that this causes. Watch out!

They're shooting themselves in the foot because women buy more new and used cars and SMART car dealerships know how to cater to women.

My ex boss was hired as the one and only female car salesperson for a car dealership here in Georgia. Within ONE month she was the number one salesperson!! She know how to talk to and deal with women, and they flocked to her.