Do I have to return a depsoit regarding a car sale that did not go through?

I accepted a deposit of $300 on the car I was selling. I gave a recipt stating that he had to return with the balance the next day. The balance and return date is on the reciept. I verbally told him several times but didn’t write it down that if he didn’t return then the car would be sold and he loses his deposit. He failed to return or call. I sold the car to someone else after that date. I missed 2 offers and more money during this time. He called 2 days later wanting his money. I told him he failed to hold up his end of the deal and I refused to give him the deposit back and now he is threating me.By law,do I have to return the deposit to him?

Asked on January 28, 2013 under Business Law, South Carolina

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 7 years ago | Contributor

Unless the $300 deposited with you was for an option to buy the car as opposed to a deposit where the buyer was to come up with additional money for the vehicle under the laws of all states in this country you legally are required to return the $300 to the person who gave it to you.


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