Legal Question in Credit and Debt Law in California

I would have to say, without reviewing the purchase agreement, that absolute the dealer has the right not to transfer title or even repossess the vehicle if your payment to him bounced. There are any number of things that could have happened as a result of your bouncing those checks - if the dealer was placing financing for you, he may now no longer be able to do so, and as such, you have no financing; your contract probably states that if your payment is not made (the equivalent of a bounced check) that the contract is cancelled. Effectively, by bouncing the check you failed to abide by a critical component of the contract between you and the dealer to sell you the car. If you breach your obligation, the dealer is probably entitled to treat the contract as void, and to refuse to honor its terms. If you want to push this further, you really need to hire an attorney to review the contract and determine what your rights may be.

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