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In general, no. The dealer can not be liable for the buyer's inability or unwillingness to conduct business with a third party.

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If you are concerned about being able to secure insurance, then before you purchase the car, you can introduce a conditional clause into your offer stating that the purchase of the vehicle is conditional upon the buyer being able to secure a motor vehicle insurance policy at fair mareket value. You should consider that the dealer may refuse to accept an offer with such a condition attached.

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2010-01-18 03:53:40
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2017-06-17 18:08:11

Before you buy from a dealer, you should ask about the dealer's return policy, get it in writing, and read it carefully. There are different consumer protections in different jurisdictions. Different dealers offer a variety of options. You may need to rely on the dealer's good will to get your full deposit back.

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Q: If you have placed a down payment on a car and signed the contract but find out you are unable to get insurance is the contract and sale of the car legal?
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