How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Ash Your Own Question
Ash
Ash, Solicitor
Category: Law
Satisfied Customers: 10916
Experience:  Solicitor with 5+ years experience
75100385
Type Your Law Question Here...
Ash is online now

Hi there. My queries are surrounding a Hire Purchase agreement

Resolved Question:

Hi there. My queries are surrounding a Hire Purchase agreement on a car. I have received some good advice on this site surrounding matter a couple of weeks ago but have had a further solicitor letter since. Alex Watts kindly helped me last time. Many thanks
Submitted: 3 years ago.
Category: Law
Expert:  Ash replied 3 years ago.

Alex Watts :

Hello my name is XXXXX XXXXX I will help you with this. Please note that I am a working Solicitor and may be on and offline as I have to attend Court and meet with clients, even at weekends. As such you may not get an instant response when you reply, but rest assured I will be giving your question my immediate attention upon return You do not need to wait here as you will get an email when I reply.

Alex Watts :

How can I help with this and I will try my best.

Customer:

Hi Alex

Alex Watts :

Hello

Customer:

This was the previous questions I asked :

Customer:

Alex Watts says:


8:59 PM


Hello my name is XXXXX XXXXX I will help you with this. Please note that I am a working Solicitor and may be on and offline as I have to attend Court and meet with clients, even at weekends. As such you may not get an instant response when you reply, but rest assured I will be giving your question my immediate attention upon return You do not need to wait here as you will get an email when I reply.


8:59 PM


When was the last payment date please?


9:00 PM


Alex Watts has stepped out of this chat.


JACUSTOMER-9lyeha3n- says:


9:00 PM


Hi Alex. Approximately September 2011.


9:02 PM


Alex Watts has entered this chat!


Alex Watts says:


9:02 PM


Ok:


9:02 PM


1) Yes they could TRY and issue a claim or get you to pay


9:03 PM


They have 6 years from the date of last payment under the Limitation Act 1980 to try and bring a claim


9:03 PM


But given what you have said I am sure any claim would not be successful, but they have 6 years


9:03 PM


In any event you would be able to sue them and the finance company as the finance company is jointly liable under section 75 of the Consumer Credit Act for breaches by the supplier


9:04 PM


2) Yes the fact you were sold a UK vehicle but an import is breach of contract by misrepresntation


9:04 PM


Had you know the true origin you would have not likely purchased it I assume


9:04 PM


That being the case the remedy is that any debt is written off


9:05 PM


If they knew that the item was imported and told you so, then this could be considered fraudulent misrepresentation and in fact you could sue them


9:05 PM


But under the circumstances Jon I am sure they want to maintain the status quo


JACUSTOMER-9lyeha3n- says:


9:07 PM


Thank you Alex, that is very helpful. Referring back to my original questions - Am I right in assuming that if they have had the car back and sold it, they have therefore recouped a significant sum of money and that should be shown in their calculations of what they feel is owed?


Alex Watts says:


9:07 PM


Yes indeed that is correct.


9:07 PM


You would be due a rebate and the value back to the account


JACUSTOMER-9lyeha3n- says:


9:11 PM


Excellent. Lastly, what about the interest charges? Effectively they've had the vast majority of their money back by way of my deposit and payments made in the early months and the sale of the vehicle. Can they charge me for outstanding payments and/or interest when they've recouped so much?


Alex Watts says:


9:12 PM


Well they can try but of course you would have a claim against them for breach of contract by misrepresentation


9:12 PM


Therefore they are unlikely to try


9:12 PM


Any rebate / charges would be governed by the consumer credit act


9:12 PM


There is a formula


9:15 PM


Can I clarify anything else?


Alex Watts :

Yes I remember.

Customer:

Okay, excellent. They have responded with a letter. There are a number of questions it has raised for me but hopefully you can clarify the two main ones and that'll give me a good basis to go back to them.....

Alex Watts :

Ok

Customer:

They have said "please note that s75 of the Credit Consumer Act 1974 does not apply to hire purchase agreements or conditional sale agreements as they are not debtor-creditor-supplier agreements". I cannot see that being the case but is that correct?

Alex Watts :

If its on finance because of it then Section 75 applies

Alex Watts :

If the debtor under a debtor-creditor-supplier agreement falling within section 12(b) or (c) has, in relation to a transaction financed by the agreement, any claim against the supplier in respect of a misrepresentation or breach of contract, he shall have a like claim against the creditor, who, with the supplier, shall accordingly be jointly and severally liable to the debtor.

Customer:

Thank you Alex. I don't have a legal background so my apologies for asking for clarification.

Alex Watts :

Of course.

Alex Watts :

If you signed for credit, its a regulated agreement.

Alex Watts :

Can I clarify anything else for you please?

Customer:

Yes please......

Alex Watts :

ok

Customer:

The company actively highlight the fact they do not finance imported cars. Regardless of whether the car was sold as an import or not (of course, it was not) if it is later proven to be imported as mine was, is that grounds to 'get out' of the finance agreement?

Alex Watts :

No of course not.

Alex Watts :

In any event they would be in breach of the Sale of Goods Act, not as described.

Customer:

I would not have purchased the car had I known it was imported. I was not told it was an import and found that out many months after I had bought it. Does that not give me any grounds?

Alex Watts :

Yes it is misrepresentation as well. This means they are in breach of contract.

Alex Watts :

Looks like I already said this last time too!

Customer:

You did and I thank you for that. I put that to the solicitor who have said "their client does not feel that proving the vehicle was an import absolves me for liability"

Alex Watts :

Well I think if its an import and was not described as one - this is pretty misleading.

Alex Watts :

But in any event of course they are going to deny liability

Customer:

They haven't but could they argue that whilst they did not advertise it as an import, they didn't advertise it as a UK one either? That would be quite unfair I suggest but could they?

Alex Watts :

Yes its misleading.

Alex Watts :

I am sure that is a breach of Trading Standards regulations (but I couldnt tell you which one)

Customer:

They clearly want the agreement paid and I simply would never have even bought this car had I known. Would you advise I use the fact I've been misled as my defence or would you advise a different or additional approach to this? Ultimately, neither me or the finance company would even be in this situation if I'd known

Alex Watts :

Yes I would agree.

Alex Watts :

The legal position for you is good.

Customer:

They have requested I provide evidence they advertised the car as a UK vehicle. Surely I was entitled to assume that was the case as I bought from a very reputable supplier? Apologies again to labour on this 'misleading' point

Alex Watts :

Yes. I agree

Alex Watts :

If it was an import they should have made reasonable efforts to say it was not

Alex Watts :

Can I clarify anything else?

Customer:

S75 of the Credit Consumer Act 1974 definitely does apply?

Alex Watts :

Yes.

Alex Watts :

In any event the Sale of Goods Act and Misrepresentation Act

Customer:

Lastly - I never received anything from the funder. I never visited the dealership as the car was delivered. This means all the documents were signed at my home and scanned via email. The funder never had the original and I obviously never received a counter-signed copy. Is that of any relevance?

Alex Watts :

I don't think so - you just need to concentrate on your case

Customer:

Very lastly!....... I put to them your suggestion that the remedy to this matter to be writing the debt off. Their client (the funder) are not prepared that proposal. What should be response to that be in my letter?

Customer:

*cce

Customer:

*accept that proposal

Alex Watts :

You just say that you are willing to pursue this matter further if they do not accept.

Customer:

Are they likely to know I have very good grounds to take that stance?

Alex Watts :

Yes I would think so

Alex Watts :

They are just trying it on

Customer:

Thank you Alex. You've been very helpful. I'll write to them again this week and if it's okay with you I'll send you another question(s) if they do not respond positively. Paying more obviously. Thank you again. I'll release your money now.....

Alex Watts :

Yes good luck and remember I am always happy to help in future. Just put for my attention

Alex Watts :

Let me know how you get on

Ash and 3 other Law Specialists are ready to help you

Related Law Questions