Interesting situation with Tesla Purchase

[JoeLaw]

Jurisdiction

Illinois

Purchased a used Tesla on the Tesla Website on Friday. Price was $32600. I paid the $2500 dollar deposit. Get the contract stating price 32600. Get all excited, sell my car the next day.
Today Tesla calls me and states that there was a computer glitch and the price of the car is $41000.

Talked to an attorney and he said it might be worth pursuing but he didn't seem very confident.

What do you guys think?

 

[army judge]

Today Tesla calls me and states that there was a computer glitch and the price of the car is $41000.

If the contract is valid and you have paid the purchase price in full, titled the vehicle, sold the vehicle, why would you even communicate with the seller?


Bottom line, do nothing, say nothing, live your life.

If the seller thinks they have a case, they can pursue legal remedies, such as a lawsuit.

If you communicate with your adversary, you'll live in fear of this or that.

Which is why I communicate only with a very small circle of trusted individuals.

I suggest you devise your own strategy for navigating this thing some call "life".

 

[JoeLaw]

If the contract is valid and you have paid the purchase price in full, titled the vehicle, sold the vehicle, why would you even communicate with the seller?


Bottom line, do nothing, say nothing, live your life.

If the seller thinks they have a case, they can pursue legal remedies, such as a lawsuit.

If you communicate with your adversary, you'll live in fear of this or that.

Which is why I communicate only with a very small circle of trusted individuals.

I suggest you devise your own strategy for navigating this thing some call "life".

That is the thing...The contract is not final. You just put a 2500 dollar deposit to until they deliver the vehicle.

 

[army judge]

That is the thing...The contract is not final. You just put a 2500 dollar deposit to until they deliver the vehicle.

They seem to have a very unique scam.

I'd request my money be returned and walk away a wiser person.

It is unwise and financially irresponsible to buy any used motor vehicle without physically inspecting same, based solely upon the LIES of the seller.

 

[mightymoose]

I agree. You have only made a deposit and the vehicle is not yet delivered. The contract is not yet complete.
They should be offering a full refund of your deposit if you do not agree to the new terms. If so then you have no damages.
If this transaction was done online without actually speaking to anyone I would bet the discrepancy is in the online prices not being current (and there is likely a disclaimer on the site that prices may change). Fairly recently Tesla did adjust all prices which might effect used cars as well.

 

[zddoodah]

What do you guys think?

Based solely on what's in your post, and without reviewing the very long, fine-print contract you attached, I think you ought to rely on what the real lawyer told you and not concern yourself with the opinions of anonymous strangers on the internet, many of whom aren't lawyers and/or who aren't in your state or (if different) the state whose laws govern the contract.

I agree. You have only made a deposit and the vehicle is not yet delivered. The contract is not yet complete.

The term "complete" has no legal meaning in this context. It is incredibly likely that a binding contract has been formed. That the contract has not been fully performed -- and, in particular, that the vehicle hasn't yet delivered the vehicle -- makes no difference as far as the enforceability of the contract.

 

[Zigner]

Until the OP signs a contract to purchase, the OP has no contract to purchase.

 

[Michael Wechsler]

Apparently this Tesla price error affected a number of people. I couldn't figure out what the $2,500 "deposit" actually represented. Performing some desktop research, it is apparently an order that is submitted to Tesla for the creation of a specific car or, if it is a used car, takes it out of the available inventory for delivery.

There are three legal issues that come to mind and perhaps why the lawyer was not confident about a suit against Tesla. First is that this may be a refundable deposit, fully refundable until the vehicle is delivered to you. This limits any damages claim and I'll hold off on any question of whether Tesla might have a reciprocal right to cancel prior to the order being finalized

Ordering a Used Tesla

The terms of the Tesla Motor Vehicle Order Agreement can be viewed here.

Until your Vehicle is delivered to you, you may cancel your order at any time, in which case you will receive a full refund of your Order Payment... When you take delivery of the Vehicle, we will provide a credit to the final order price of your Vehicle equivalent to the amount of the Order Payment you paid. This Order Payment and this Agreement are not made or entered into in anticipation of or pending any conditional sale contract.

Second is that it seems that the contract of sale is actually made later. As a result, it would seem like @Zigner would be correct and we probably don't have to address the previous issue, especially if the deposit is returned when the car is placed back into inventory.

The third legal issue is whether the contract was voidable as a result of unilateral mistake that was patently obvious. Whether a 20% discount on the vehicles without any indication of a sale, price decrease is within the scope of an obvious error is for a judge or jury to decide. But given that there appears to be no contract of sale and the deposit has been returned, no need to explore this further.

While you could investigate consumer fraud claims, the refund likely limits the priority for review since you're not suffering monetary damages and placed back into the position you were in prior to the deposit being made. Just my thoughts.