ERD50
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Question on these Arbitration Agreements - I've negotiated two car purchases for the family this year, had not bought a car at a dealer for ~ 11 years prior. The car we bought last January, towards the end of signing papers, the guy hands me this paper saying I agree to arbitration with the BBB, and I pay the first $100 in fees. I say "Why would I sign this?", he says everyone signs it, blah-blah, I say he can't use that line anymore, and I would need my lawyer to look at it first, and he backs down, but acted like I was from outer-space for questioning this.
So since he backed down, I forgot about this on our recent purchase. So we get to the end, and (different dealer) he hands me that same form. I decline, but he's playing hard - boss won't let them sell the car w/o it, blah-blah. If I don't sign, I can walk away. Well, as you know this is a bad time for negotiating on cars - the Japan earthquake has dried up inventory, the car DD wanted was between 2011 being out of stock and 2012 just coming in (bad for us to negotiate all around), but awkward for us to wait. So I caved and signed. Sigh.
On principal, I don't want to sign away my rights, esp when the arbitration firm is chosen by the other party (and I assume they pay dues to belong to BBB?). I do plan on asking up front before the next purchase. It's unlikely I would ever need to sue a dealer, never had the need before, but signing away my rights makes me gristle. I know we do it with most brokers/NYSE, I don't like that either, but do I have a choice?
I found this write up in another credit union newsletter:
They make the interesting point that dealers fought against arbitration agreements with the manufacturers. Goose/gander?
Anyhow, anyone had experience with this? How easy to say upfront that you won't sign? Any problems with the BBB being biased?
-ERD50
So since he backed down, I forgot about this on our recent purchase. So we get to the end, and (different dealer) he hands me that same form. I decline, but he's playing hard - boss won't let them sell the car w/o it, blah-blah. If I don't sign, I can walk away. Well, as you know this is a bad time for negotiating on cars - the Japan earthquake has dried up inventory, the car DD wanted was between 2011 being out of stock and 2012 just coming in (bad for us to negotiate all around), but awkward for us to wait. So I caved and signed. Sigh.
On principal, I don't want to sign away my rights, esp when the arbitration firm is chosen by the other party (and I assume they pay dues to belong to BBB?). I do plan on asking up front before the next purchase. It's unlikely I would ever need to sue a dealer, never had the need before, but signing away my rights makes me gristle. I know we do it with most brokers/NYSE, I don't like that either, but do I have a choice?
I found this write up in another credit union newsletter:
Auto Contracts Requiring Mandatory Binding Arbitration Limit Consumer Rights - Corning Credit Union - StraightTalk
Ask a dealership in advance if they require a mandatory binding arbitration agreement. If they require one, and if you don't want to sign it, tell the dealer your decision, and stick to it. If the dealership wants your business badly enough, they won't make you sign the agreement.
They make the interesting point that dealers fought against arbitration agreements with the manufacturers. Goose/gander?
Anyhow, anyone had experience with this? How easy to say upfront that you won't sign? Any problems with the BBB being biased?
-ERD50