Verbal Agreement To Buy A Car
Can a buyer rely on something the seller said during the sale? When people call my office to complain after being shot by the seller, I ask them to withdraw their sales contract. I don`t need to see it: they`re almost all equal (at least in Michigan, but I`ve heard similar stories from other states). They contain a clause expressly stipulating that the seller may not bind the trader by oral statements. The only way that can happen is if the seller`s statement is written on the sales contract and then signed and approved by another representative of the merchant. And it`s almost never done. For an oral agreement to be binding, the elements of a contract in force must be present. To illustrate how the elements of a contract create binding terms in an oral agreement, we use the example of a man who borrows $200 from his aunt to replace a flat tire. To win the case, the aunt must prove that her nephew borrowed the money with the intention of repaying it, while the nephew must prove that he did not accept such a thing. Without documentation of the agreement, it becomes a matter of he-said-she-said. Ultimately, it is a judge who decides which case the party is most likely. Parties who are both in good health should freely accept the terms of the agreement, i.e. without any undue influence, coercion, coercion or misrepresentation of the facts. Both the nephew and aunt agree with the terms of the contract, without putting pressure on each other and with the intention of fulfilling their obligations.
The contractual conditions must not be presented in a vague, incomplete or incorrect manner. In other words, there should be an agreement on the parties, the obligations of each party, the price to be paid and the object of the contract. The conditions between the aunt and the nephew are very clear; The aunt lends the nephew $200 to buy a new tire (and nothing else) on the condition that he returns the $200 to her at some point (for example.B. if he receives his next paycheck). If two or more parties reach an agreement without written documentation, they draw up an oral agreement (formally called an oral contract). However, the authority of these oral agreements may constitute a certain grey area for those who are not familiar with contract law. Without a witness to the deal, the aunt could be out of $200 and an honest relationship with her nephew. Just like the aunt in our imaginary scenario, you`re probably better off documenting an agreement in writing. Something as simple as a promission note, which details the nephew`s promise to repay his aunt, could have prevented any dispute over his agreement. Finally, it is less complicated to ask family members for a written credit agreement than to bring them to justice.
Be sure to check your state`s laws or fraud law if you`re not sure whether or not you need a written agreement..