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Alex J.
Alex J., Solicitor
Category: Law
Satisfied Customers: 3655
Experience:  Solicitors 2 years plus PQE
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I verbally agreed to by rough diamonds from a broker at an

Resolved Question:

i verbally agreed to by rough diamonds from a broker at an agreed price but now i want to change my mind ,but he says i cannot back out of the contract is this correct .
Phill
Submitted: 2 years ago.
Category: Law
Expert:  Alex J. replied 2 years ago.
Hi,
Thank you for your question and welcome.
My name is ***** ***** I will assist you.
What did you actually say to him to close the deal?
Did you say you would transfer funds to his bank account?
Why are you cancelling the deal?
Kind regards
AJ
Customer: replied 2 years ago.

Hi AJ

Joel the broker offered me to buy rough diamonds firs=-rst it was 10carets but if i could afford to by 20 carets my return would much greater ,i agreed with the 20 carets.I have received the email and the contract by post which i havent signed as yet.The details for transfer of funds into a holding account are in the contract.

The reason i want to change my mind is i have read the contract and the risk warnings are that if you are not happy that the transaction is not do not enter into the transaction i have told joel that i want out but he says its legally binding verbal contract,he will in touch again this morning to find out why i havent returned the contracts .please help .

Regards Phill

Expert:  Alex J. replied 2 years ago.
Hi,
Thank you.
I would disagree with the seller's assessment. Ultimately if you verbally agreed a sale and then he sends you a contract then it has to be assumed the deal is "subject to a written contract".
By law you cannot unilaterally bind someone to an agreement before they have had a chance to agree all the terms.
I would write back to him and say that you do not accept his written terms and the fact that he sent you a written contract implies:
(a) Your deal was "subject to contract";
(b) Contractual formation did not occur over the phone - you had merely provided an "invitation to treat"- I.e you had invited him to make an offer.
While verbal contracts can be binding - there is no verbal contract formed here - you can evidence this by the fact that he sent you a written contract.
Kind regards
AJ
Customer: replied 2 years ago.

thanks for your reply ,joel has just phoned me i told him again i did not want to proceed with the purchase but said i have to its a legally binding

contract and i have to pay for the diamonds by midday today and he said if i dont pay they will start legal action against me for recovery of the debt.

Regards Phill

Expert:  Alex J. replied 2 years ago.
Hi,
Thank you.
Unfortunately it is his prerogative if he wants to commence proceedings or not. Even if he is unjustified there is nothing you can do about it.
Ultimately there is no contract and therefore there is no debt - he would have to sue you for specific performance - i.e this would still involve him having to deliver the diamonds.
Do you actually want the diamonds just not on his terms?
Kind regards
AJ
Customer: replied 2 years ago.

Thanks AJ

No i dont want the diamonds i will never talk to anybody like that phones

up again i need to be more street wise.

Thanks again Phill

Expert:  Alex J. replied 2 years ago.
Hi,
Thank you.
I would write back to him and say clearly the agreement was "Subject to Contract". You do not accept his contractual terms and therefore no contract has been formed.
Any claim will be vigorously defended.
If I can assist any further please do not hesitate to contact me.
Kind regards
AJ
Customer: replied 2 years ago.

Thankyou

Expert:  Alex J. replied 2 years ago.
No problem.
I wish you the best of luck.
Please do not hesitate to contact me if I can assist any further.
Kind regards
AJ
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