Re: [MV] Vehicle pre-sale deposit. What's fair?

Rick Green (rgreen@mail.datasys.net)
Wed, 14 Jan 1998 18:18:46 -0800

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Reply-To: Rick Green <rgreen@mail.datasys.net>

Gordon.W.I. McMillan wrote:
>
> Sounds a bit complicated. Why not go for the 500 deposit, and if he
> doesn't show up he gets the 500 back as and when you do sell it, minus
> a small handling fee? Gordon. 8-)

The way I have always handled a deposit is to either give or get 10% of
the asking price (depending on if selling or buying). I have talked to
several different lawyers and they have stated that 10% makes a binding
contract for the seller to hold the vehicle for a indefinite agreed
time. As for the buyer part, I consider the 10% deposit as a loss if I
or the other person decides not to buy. I consider it a fee for the
time and opt to sell to other buyers as I am holding it for nothing. I
tell the seller if I am buying to do the same, if I decide not to or
can't come up with the rest, they get to keep the deposite for their
time and trouble.
just wanted to let you know the way I do it.
Jason

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