Legal Question in Consumer Law in Pennsylvania

Cashing a down payment without a purchase.
My Son left a down payment of $ 5.000 contingent on getting approved for 3.500 for a car.
The loan was not approved, so we went elsewhere.
When my son went to the bank he found his checking account empty as the previous dealer had cashed his check!?
We had a lot of trouble getting his money back.
Is there something on the books that says they could cash his check when he had purchased nothing?

Asked on 9/13/00, 10:44 am

Stanley Fudor Law Offices of Stanley Fudor

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Re: Cashing a down payment without a purchase.

Was there any paperwork involved? The key is whether the deposit was refundable or non-refundable.

Answered on 10/16/00, 10:05 pm

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