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Discussion Starter #1
Did anybody else have to sign an agreement with their dealership stating that if you decide to sell the car within the next 2 years, that dealership has first rights to buy the car back at MSRP? If they decline, then you can sell it to someone else.
 

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I did not, but this is obviously a mechanism to stop people from immediately flipping their car for a profit. With that said, I am surprised by the long length of time. Six months would have been sufficient for this purpose.

Tom
 

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Sounds like a pretty sweet deal to me. Let me get his straight. I get to drive the car for 2 years then get all my money back! (except for tax & liscence of course) I have not heard of this, but will certqainly inquire at my dealership. Maybe this applies to buyers that are paying over MSRP.
 

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AbruzziBoy said:
Sounds like a pretty sweet deal to me. Let me get his straight. I get to drive the car for 2 years then get all my money back! (except for tax & liscence of course) I have not heard of this, but will certqainly inquire at my dealership. Maybe this applies to buyers that are paying over MSRP.
Th e key word is "Option".
They are not obligated to pay your $$ back.
 

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AbruzziBoy said:
Sounds like a pretty sweet deal to me. Let me get his straight. I get to drive the car for 2 years then get all my money back! (except for tax & liscence of course) I have not heard of this, but will certqainly inquire at my dealership. Maybe this applies to buyers that are paying over MSRP.
???

they have the first option to buy back, i.e. you cannot sell it to someone else without offering it back to BMW NA first.

they give you fair market value, not all your money back.

this is to prevent flipping as someone already mentioned.
 

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I don't think that this is a BMWNA policy; for one, is it even legal? I would bet that this is a dealer policy, and even then I question the legality of the document; after all it's your car, you can do what you bloody well like with it. The dealership is just hedging their bets that the market will still be strong enough for the car that two years down the road someone will pay over MSRP for it; (doubtful imho).
Bish
 

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actaullay sounds like a great marketing ploy to boost the status of the car
 

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Its like with some Ferrari dealers,legally there is nothing they can do to stop anybody from flipping cars for profit.
They can ,however, refuse to accept an order for a new car in the future.
 

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Its a real problem here, very few cars delivered and already a lot of them on the market for way above their cost
 

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thebishman said:
for one, is it even legal?
I'm not a lawyer, but unless there are statutes explicitly prohibiting the practice, it sounds like a plain contract containing the required elements.

Tom
 

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bernhtp said:
I'm not a lawyer, but unless there are statutes explicitly prohibiting the practice, it sounds like a plain contract containing the required elements.

Tom
The contract might be 'enforceable', but how can the dealership deny selling the car to the rightful owner who has placed an order potentially years prior, simply because that owner refuses to sign the contract? In other words, I believe mandating that the owner sign such a contract would be illegal.
Bish
 

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thebishman said:
The contract might be 'enforceable', but how can the dealership deny selling the car to the rightful owner who has placed an order potentially years prior, simply because that owner refuses to sign the contract? In other words, I believe mandating that the owner sign such a contract would be illegal.
Bish
Unless the contract were signed at the time the order was made - you have the requisite promise and consideration.

Tom
 

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Discussion Starter #17
i didnt have a problem signing it at all. i was more curious to see if the dealership just did it to me or others as well.
 

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thebishman said:
The contract might be 'enforceable', but how can the dealership deny selling the car to the rightful owner who has placed an order potentially years prior, simply because that owner refuses to sign the contract? In other words, I believe mandating that the owner sign such a contract would be illegal.
Bish
I'm not a lawyer, but my take is the dealer can ask for whatever terms they want (within the boundaries of legality) in the purchase agreement and if you don't want to agree to it, they are under no obligation to sell you the car. When you put a deposit down on a car (at least in the several states I've purchased cars in), all you're doing is getting a place in line to purchase a car--like taking a number at the bakery--and even that place in line is not guaranteed...you know that if the dealer's favorite customer decides he wants a car they'll go straight to the front of the line.

One of the dealers in the bay area said they'll only lease the M5--I suppose they also want to make the lease profit--and this is a dealer asking a crazy premium. There's also one in NY that said they'll only lease the M5.

I'm not saying I like this, but it is the reality.
 
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