Can I rescind a car purchase?

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Can I rescind a car purchase?

I bought a car 5 weeks ago but the dealership has had it for the past 3 weeks; it needed to put a transmission in because the original one went out 2 weeks after I got the car. They said that I have to keep the car and that I can’t get a different one. I want to know if there is anything that can be done to get out of buying this car at this point? I’ve already made $2100 worth of payments.

Asked on March 18, 2014 under Business Law, Michigan

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 7 years ago | Contributor

You can only rescind a purchase for fraud (a deliberate lie) or mistake (without any fault on your part, you reasonably and in good faith thought you were buying a different vehicle). However, you would be entitled to compensation for the money you've paid without actually having the car, if the dealer either sold you a defective car or has been negligent in how it's been repairing it (e.g. taking far longer than they should have). If they will not voluntarily provide compensation, you could sue them, such as in small claims court, for the money.


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