Legal Question in Consumer Law in Oregon

No. If you agreed to buy the car, you have no right to rescind the deal now. Of course, your family friend could agree to take it back and refund your money, but he does not have to do that. You could rescind the deal if the family friend committed fraud in selling you the car, as in telling you it had qualities he knew it did not have or that it had a lack of defects that he knew actually existed. But, since he has the money, he does not have to give it back to you until ordered by a court to do so, and you would have to prove he engaged in fraud.