Does a Car Dealer Have to Honor an Email Price Quote

My question involves a consumer law issue in the State of: California

I have been corresponding with a local Ford dealership regarding the purchase of a used vehicle. All of the emails are signed with our names. We both clearly reference the vehicle I was interested in throughout the emails. (they only have ONE of this model on their lot and it is not a Ford so would be very difficult to confuse!)

He emailed me a price quote after some haggling, which I agreed to. My husband called and spoke to him over the phone, said we would come in to purchase the vehicle (tonight) and the sales guy said he would have it prepped and ready since he would not be there.

When we arrived, it was a different vehicle that had been prepped, same make but different model. We were told they could not honor the price he had quoted and that he must have made a mistake, they would never sell the car that low as they could get more for it at an auction.

Do we have any recourse here? We feel like our time was wasted in leaving work early to make the purchase and are quite disappointed we walked away without a car! Especially since we both emailed and spoke via phone to the sales guy. If nothing else, can and should we make a complaint to the state? Write a letter to the sales manager? Thanks in advance!

It's unlikely that you have an enforceable contract. It appears that, despite your reference to the vehicle you wanted, you and the salesman were negotiating over different vehicles.

What sort of price difference are we talking about?

I ran into a similar situation. I raised so much ummmm, Heck, they gave me the price I was quoted on the phone after I gave them enough insider counter arguments to prove I knew the price was in fact do-able because they were price matching another vehicle another dealer had reduced, offering his factory to dealer hold back on new 2nd end of year models. That said, you do not appear to have an enforceable contract.

I understand. My problem is that I feel it is a bait and switch - we were clearly discussing a certain vehicle, a wagon. When I got there they had an SUV model for me and said oh no, we can't sell you the wagon for that price. The email thread clearly shows that, he even references the vehicle I wanted. I would at least like to make a complaint to the state about it, is there a specific place to file a complaint with besides the BBB?

The price difference was a few thousand dollars.

Thanks again!

Your recourse is simple.

Don't buy the car.

Then go someplace else and stop doing this email foolishness.

Find the car you want, negotiate the deal, buy it on the spot.

Until that happens assume everything that a dealer tells you is a lie. If he tells you what time it is, check your watch to make sure of the time and that he hasn't stolen your watch.

If you were offered a specific vehicle that can be specifically identified at a given price and you accepted the offer you should have an enforcable contract. How the communication took place is unimportant; email can certainly satisfy the requirement that a contract be in writing under the UCC.

I would explain to the dealer that a valid contract exists, that I would like them to honor the contract, and if they choose not to I will buy the vehicle at the best price I can elsewhere and then seek recovery of the difference in price in court. If the amount is within the small claims limits of your jurisdiction, it would not be a difficult case to file. Discuss this with the most senior sales manager you can talk to, not a salesman, Be pleasant, but make sure s/he understands that you know your legal rights.

The wording is critical, however. An offer to sell you "a" 2014 VW Passat may not be specific enough. An offer to sell you the only one on their lot at the time of the email would certainly be more specific because that vehicle is capable of being identified.

Thank you Bubba for the helpful reply! The sales manager did state via phone today that the offer was made and it was a mistake and that he was sorry.

Adjusterjack, sorry you seem to be having a bad day!! Negotiating very email is commonplace nowadays and how many busy working professionals with children tend to initiate a vehicle purchase :)

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Quoting drea426

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Adjusterjack, sorry you seem to be having a bad day!!

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I'm not the one having a bad day, heh, heh. I'm not the one who thought he was making a deal by email with a car dealer.

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Quoting drea426

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Negotiating very email is commonplace nowadays and how many busy working professionals with children tend to initiate a vehicle purchase :)

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If you say so.

Be sure to let us know if you get the dealer to honor the deal.

As I noted, getting the dealer to honor the deal can be stressful. In my case, I snagged a $44k pickup for $28k. It was worth the hour plus I spent dragging them over the coals in person.

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Quoting drea426

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I understand. My problem is that I feel it is a bait and switch - we were clearly discussing a certain vehicle, a wagon. When I got there they had an SUV model for me and said oh no, we can't sell you the wagon for that price. The email thread clearly shows that, he even references the vehicle I wanted. I would at least like to make a complaint to the state about it, is there a specific place to file a complaint with besides the BBB?

The price difference was a few thousand dollars.

Thanks again!

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If the identity of the vehicle is sufficiently clear from the email, they made an offer and you accepted. Contract complete and in writing no less. Threaten to take them to court for breach of a contract to sell you the vehicle in the email.

If the email is ambiguous wrt which vehicle you were negotiating over, then they have an argument there was no meeting of the minds and thus no contract because you both were talking about different vehicles.

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Quoting JulesJam

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If the identity of the vehicle is sufficiently clear from the email, they made an offer and you accepted. Contract complete and in writing no less. Threaten to take them to court for breach of a contract to sell you the vehicle in the email.

If the email is ambiguous wrt which vehicle you were negotiating over, then they have an argument there was no meeting of the minds and thus no contract because you both were talking about different vehicles.

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Say, that's very good advice if I do say so myself!

Why didn't I think of that? Of course the OP would have to show damages, which is why I recommended buying a comparable vehicle at the best price possible. The difference in the two prices is damages. Without demonstrating damages, he'll get nothing. No court will order specific performance in a case like this.

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Quoting Bubba Jimmy

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No court will order specific performance in a case like this.

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If they haven't sold the vehicle they will.

But regardless, before OP goes out and buys another vehicle and then sues for damages they should try my tactic, which is to threaten to sue the dealer for breach of a contract to sell the vehicle identified in the email to see if that can persuade the dealer to actually sell them the vehicle they contractually agreed to sell.

Much better solution than trying to cause yourself damages and then sue to recover the damages.

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Quoting JulesJam

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If the identity of the vehicle is sufficiently clear from the email, they made an offer and you accepted. Contract complete and in writing no less. Threaten to take them to court for breach of a contract to sell you the vehicle in the email.

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Obviously, the analysis is more complicated than that. Depending on what was actually in the series of emails, the emails could establish that there was not a meeting of the minds (each party was talking about a different vehicle), or that the offer was contingent, or that there was no clear acceptance.

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Quoting JulesJam

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If they haven't sold the vehicle they will.

But regardless, before OP goes out and buys another vehicle and then sues for damages they should try my tactic, which is to threaten to sue the dealer for breach of a contract to sell the vehicle identified in the email to see if that can persuade the dealer to actually sell them the vehicle they contractually agreed to sell.

Much better solution than trying to cause yourself damages and then sue to recover the damages.

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they can but how long do you think it will take to get this into court?

is the dealer going to still have the car by then? There is the possibility they won't and if so, then you need proof of damages but guess what:

unless they actually have damages, there are none. That means bringing in claimed proof of difference in what this deal was for and what a similar deal is worth isn't going to be enough because unless they buy that other car, there are no damages. You don't get paid for the difference just because you make the argument IF you buy another same style car, it will cost you more.

On top of that no 2 cars are identical so somewhere adjustments would have to be made. Those adjustments add another very confusing layer of proofs on top of simply proving a breach of contract.

jk, just as an FYI for future purchasers, When explaining my basis to argue the price they refused to honor in person, I started at the base dealer invoice for the vehicle online at another dealer they agreed to match and the dealer invoice for the vehicle they had.We then accounted for the option differences that vehicle had vs what they the one they delivered had.

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Quoting JulesJam

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If they haven't sold the vehicle they will.

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You can only get specific performance for, 1) Real Estate, or 2) goods that are unique. No 2014 Mustang is unique since there are thousands just like it on the road, or another one just like it can be built. Now, if we're talking about the one 1955 sea foam green Cadillac that belonged to Elvis, then yes, you could get specific performance for breach. Otherwise, you're looking at damages.

The email contents are indeed important. If there is no specificity as to what vehicle is being agreed upon then there was no contract. If there was specificity with an offer followed by acceptance then there was a valid, binding, and enforceable contract. Under the UCC, the buyer can cover by obtaining alternate goods (i.e. a car just like it from another dealer).The remedy of damages is certainly available in that case and damages would be the difference between the contract price and the cost of cover (i.e. the car purchased). And the cost to enforce rights in small claims court, presuming that the price difference is at most a few hundred or a couple of thousand dollars, is not a big hurdle.

I would not threaten to take them to court to force them to sell at the quoted price. I would threaten to buy the car elsewhere and take them to court for any extra cost. I'd suggest they run that scenario past their lawyer to see what he thinks of my chances after s/he reviewed the emails. Then the dealer would become more reasonable, I believe.

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Quoting Bubba Jimmy

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I would not threaten to take them to court to force them to sell at the quoted price. I would threaten to buy the car elsewhere and take them to court in the extra cost.

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In terms of threats... Well, I doubt it would work, but you never know what a business will do to keep itself out of a potential court case.

For the calculation of damages, assuming the car is sold and a contract can be substantiated, a reasonable measure of damages would be the difference between the price established in the email negotiations and the amount for which that same car is sold to a third party. The sale of exactly the same car from exactly the same dealership is about the best evidence you're going to find of its actual market value.

Before delving into this farther, was this a 2014 or a 2013 model? A 2013 model had factory to dealer holdback not usually advertised to the public in addition to rebates etc that are advertised. If you wish to PM me the link from the dealers web site on the car, I will give you advise from my decades of experience negotiating car deals.