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freespirit4166
27-06-2008, 11:48 AM
Hi
Does anyone know about this act - what is enforacble? Is a verbal contract, where no money has changed hands, enforceable?

A friend offered to sell us her car - we were told it was worth about $3000.00 and that the registration was on hold ( I am from UK and did not understand the implications of this!) I was given the keys and took to a garage and told the car was not worth doing any work on and would not get a warrent and was worth about $400.00 I phoned her up and said I didn't want the car and would return it. I have transferred the car back into her name and no money has changed hands.
Any ideas only she has issued civil proceedings for value of car?
Any help would be great even if it points to another site for advice
Thanks

Speedy Gonzales
27-06-2008, 11:57 AM
Depends, are you still in the UK now??

The laws there, are probably different to NZ law

Here's one NZ site (http://www.consumeraffairs.govt.nz/consumerinfo/secondhand.html)

Or this (http://www.consumeraffairs.govt.nz/consumerinfo/contracts.html)

As it says

Buying privately

Generally, when you buying something privately you do not have the right to cancel the contract and you have only limited rights if something goes wrong - it is a situation of "Buyer Beware".

But you do have rights in the following situations:

The seller has misled you

The Contractual Remedies Act gives you a right to claim compensation if you agreed to the contract based on what the other party told you, and that information turns out to be incorrect. The amount of compensation should be sufficient to put you in the position you would have been if the misrepresentation hadn't been made.

eg, Tem tells Lisa that the car she is buying from him has recently had its engine reconditioned. She finds out one week later that the engine has not been reconditioned. Lisa can claim compensation from Tem for the cost of having the engine reconditioned.

The seller did not have the right to sell the goods

The Sale of Goods Act gives you the right to cancel a contract or claim compensation where, unknown to you, the seller did not have the right to sell the goods, or the goods were being used as security

Richard
27-06-2008, 11:58 AM
Talk to your lawyer. Sounds like some 'friend'. :thumbs:

PaulD
27-06-2008, 12:09 PM
Hi
Does anyone know about this act - what is enforacble? Is a verbal contract, where no money has changed hands, enforceable?

A friend offered to sell us her car - we were told it was worth about $3000.00 and that the registration was on hold

Do you mean its registration/licence was on hold because it couldn't get a warrant?

Sounds like the value of the car was overstated and you would have been using the Act to recover money if it had changed hands.

From Consumer (like Which?) http://www.consumer.org.nz/topic.asp?docid=230&category=Legal%20Rights&subcategory=Cars&topic=Car%20buyers%27%20rights

"If you buy privately, you're not nearly so well protected. The Consumer Guarantees Act and Fair Trading Act don't apply, although in some circumstances the Contractual Remedies Act does apply. If a private seller misleads you about the car, you can take them to a Disputes Tribunal."

pctek
27-06-2008, 12:10 PM
Nothing was put in writing right?
So any lawyer will tell you that its tough luck for her. She can't make you buy it.
And, yeah - some friend.

drcspy
27-06-2008, 12:44 PM
But you do have rights in the following situations:

The seller has misled you


seems fairly obvious this person has misled you and now they're trying to 'recover' the 'value' of the car ?........and they say it's value is/was $3000 but the garage says $400. Get the garage to put that in writing.

robbyp
27-06-2008, 01:08 PM
Hi
Does anyone know about this act - what is enforacble? Is a verbal contract, where no money has changed hands, enforceable?

A friend offered to sell us her car - we were told it was worth about $3000.00 and that the registration was on hold ( I am from UK and did not understand the implications of this!) I was given the keys and took to a garage and told the car was not worth doing any work on and would not get a warrent and was worth about $400.00 I phoned her up and said I didn't want the car and would return it. I have transferred the car back into her name and no money has changed hands.
Any ideas only she has issued civil proceedings for value of car?
Any help would be great even if it points to another site for advice
Thanks

If they have misled you, and the car isn't worth what they said, then they are likely to lose if it is taken to the disputes tribunal. Get the true value from the garage in writing, and also the receipts for any costs, as you can counter claim against them. Don't be afraid of it going to the disputes tribunal, as that could be the best way to go in that situation. Obvously there are a poor excuse for a friend, and if it is worth what they say, then they shouldn't have any trouble selling it to someone else, as they haven't lost anything to claim it. They wouldn't happen to be a real estate agent, car sales person, or a property developer would they?

Speedy Gonzales
27-06-2008, 01:23 PM
* read it wrong

Biggles
27-06-2008, 01:27 PM
Hi
A friend offered to sell us her car ..... I was given the keys and took to a garage .... I have transferred the car back into her name and no money has changed hands.

So let's get this right. Although you had not paid her any money, and had yet to have the car checked out at the garage, the registration of the car was transferred to you (which you have since transferred back).

You don't say where the car is now? You've transferred the registration to her name, but presumably you still possess the car?

drcspy
27-06-2008, 01:49 PM
registration and ownership are two totally different things.............just because you said you 'might' buy it doens't mean this person has the 'right' to 'tie' you into any kind of contract..........and they've totally misrepresented the value of the vehicle


the car was not worth doing any work on and would not get a warrent and was worth about $400.00

Winston001
27-06-2008, 03:59 PM
registration and ownership are two totally different things...........and they've totally misrepresented the value of the vehicle

Agreed - registration of ownership is evidence you may own something, but not conclusive eg. you can't own it if it has been stolen.

My advice - ask the District Court to transfer the proceedings to the Disputes Tribunal. It'll save you money and time.

FYI contracts do not need to be in writing - oral agreements are common and normal. For a contract to exist you need an agreement of consideration (legal term for money) in exchange for a benefit. No money needs to change hands - it is the agreement which is essential to form a contract. The money can be sued for.

Sounds like you've been ripped off by your friend. However that doesn't mean there isn't a valid contract - so unless she gives it up, you'll have to defend yourself. You have a good chance of success.

KenESmith
27-06-2008, 07:55 PM
There are strict provisions on selling "motor Vehicles" that are not roadworthy.
The law requires that a "motor vehicle" will have a current warrant of fitness not more than 30 days old. There should be an out within this regulation unless the vendor met all the requirements of the law in relation to selling an unwarranted vehicle.