WHAT'S LEFT FOR REFUND IF I DIDNT PUSH THROUGH WITH THE TERMS?

A pleasant day everyone!

I would be grateful and happy to get an advice regarding a purchase contract that I made last June 2014 to a printer company. The unit cost is at 2million pesos. I opted to sign a contract for a 12-month instalment, since we started last June 2014 I only paid 300k and due to lack in funding I wasn't able to push through with the purchase. My question is, is there a chance to get a refund even a portion of the amount i have provided them? Please note that I didn't get any item as well as the printer, technically I didn't get anything from the company. I also lost contacts with them since January 2015. I'm just thinking if I have the right to ask them now to get a refund? I really need some cash because my business is having trouble with its finances and I look at this pending transaction as an opportunity to get additional funds.

Please help.

"300k of 2 millions. You broke a contract..."
You are LUCKY if they don't demand MORE from you.
I suppouse you bought a NEW printer. Value drop when it became used by you.

"I also lost contacts with them since January 2015."
?? How come? Do you mean they stoped answering in their office?
If so, you better be HAPPY for that, and DON'T try to find them, because of the risk they will demand more from you...

Hi, Sir.

Thank you for your reply. I didnt get anything from them. It was a purchase agreement that we will pay them in one year, and once fully paid thats the only time they will deliver the unit. My question is, I do not have the money to continue the payment, since we started I was able to pay them with 3 checks amounting 100k each. In this scenario, I should not contact them because they might sue me for not finishing the contract? and I should not think of my money? Please enlighten me on this matter?

Thanks in advance.

Hi Rosalie,

I think Recto Law should be applied with this matter. By the way, I am not a lawyer. I am just a CPA with few knowledge in Business Law.

With regards to your problem, this law covers contracts of sale of personal property by installments (Act No. 4122). It is also applied to contracts purporting to be leases of personal property with option to buy, when the lessor has deprived the lessee of the possession or enjoyment of the thing. (PCI Leasing and Finance Inc. v. Giraffe-X Creative Imaging, Inc., G.R. No. 142618, July 12, 2007


Therefore you can avail remedy #2:

Rescission: Cancel the sale if buyer fails to pay 2 or more installments Deemed chosen when:

a. Notice of rescission is sent

b. Takes possession of subject matter of sale

c. Files action for rescission

You can ask for a refund but, for sure, the printer company will ask damages for breaching the contract.

As a conclusion, ask guidance from a good lawyer.

really appreciate your help. i will try to communicate with them in a nice way to settle, I know that we made a mistake here and damages fee will be fine. Thank you so much po

Glad to help you with my little knowledge God bless

Thank you! You know I notice from your sample case the Giraffe-x I used to work with them when I'm just starting out. Now I have my small advertising agency now, there are some shakes in finances but im very positive i'll get thru this phase. I really appreciate your help. God bless.

ayelisme wrote:You can ask for a refund but, for sure, the printer company will ask damages for breaching the contract.

I know that we made a mistake here and damages fee will be fine.

It's risk the damage fee can be big.
That's why I believe it can be better to NOT contact them. They not answering, give you that chance to "not wake them up".

I don't think damages can be bigger than 300K. The item has not been delivered. Therefore it is safe to say that it is unused. And I pressume that it is the latest model so no way they cannot sell it to another buyer. That is why rescission of the contract is the only remedy for this case. They can settle this with a new contact.

actually, sir it's not a contract it was just a quotation with amount in it. payable in 12 months. Thanks

rosalie_delossantos wrote:actually, sir it's not a contract it was just a quotation with amount in it. payable in 12 months. Thanks

If it is not a contract then it is not legally binding. I am now certain that you can get your money back.

ayelisme wrote:I don't think damages can be bigger than 300K. The item has not been delivered. Therefore it is safe to say that it is unused. And I pressume that it is the latest model so no way they cannot sell it to another buyer. That is why rescission of the contract is the only remedy for this case. They can settle this with a new contact.

Oh it was never delieverd? THEN there can be refund chances.

"actually, sir it's not a contract it was just a quotation with amount in it. payable in 12 months. "
Did you pay 300 000 without a contract???!!!