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Several weeks ago my husband & I paid $1000 & $500 respectively

as deposits on 2 used...
Several weeks ago my husband & I paid $1000 & $500 respectively as deposits on 2 used cars from a dealership in Nelson. The dealer is holding the vehicles for us in storage until 10/11th May when the money from the sale of our house comes through and we pay the balance. We have now decided that we no longer want the smaller and less expensive of the 2 cars (Toyota BB $7000, $1000 deposit paid). Are we required by law to complete this sale? We were told that our deposits were non-refundable. Is this correct?
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Answered in 40 minutes by:
4/30/2013
Chris The Lawyer
Category: New Zealand Law
Satisfied Customers: 23,335
Experience: 38 years qualified as a lawyer; LLB, MMgt and FAMINZ.
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christhelawyer : HiWelcome to JustAnswer. My first response will follow shortly. Please feel free to follow up if anything is not clear
christhelawyer : Unfortunately the dealer is right. You have a contract for the purchase and cannot cancel without a good reason. If you cancel this is a breach of the contract, and they can take the deposits as damages for the breach
christhelawyer : The law about this is the Contractual Remedies Act and if you cancel this act provides that you will have to pay damages
Chris The Lawyer
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Experience: 38 years qualified as a lawyer; LLB, MMgt and FAMINZ.
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DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.

The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).

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