Breach Of Contract Cases In Auto Purchase
The breach of contract is a legal term or a legal obligation between two parties where one of the parties has not honored the legal commitment causing a breach of contract.
It can be cause due to the non performance of either party or due to the interference of one party in the other party’s affairs. There are several gradations of a breach like a minor breach to a severe breach.
When a person takes a loan to purchase a vehicle from a dealer or a financial institution it is called an auto loan. Loans are given to people only after signing contracts.
Breach of contract cases in auto purchase would occur when one person who has bought a certain vehicle on a loan from an automobile dealer fails to repay the total loan amount or makes only partial payments for the loan. There can be many more instances like the party failed to meet a legal obligation, or did not pay the sum of money or dishonored a check, and so on.
Sometimes the breach of contract in auto purchase also occurs when the auto company fails to send a demand letter to the borrower. Even a car dealer can be guilty of breach of contract when he fails to deliver the type of car that was agreed upon or the vehicle was not delivered on the date that was mentioned on the contract.
A breach of contract case can be filed by the lender and the borrower depending on the nature of the breach. In current day scenario, loans are being given to people who do not have good credit scores and there is a sudden increase in the breach of contract cases from both the parties.
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