If you sign an agreement with an auto dealer to buy a vehicle and put down a deposit, can the dealer then quash the deal even if you still want that car?

Calgary woman Kim Ruppe didn’t think so, until it happened after she gave the car dealer low marks on a customer survey.

In the market for a minivan for her growing family, Ruppe recently went to Village Honda and picked out a vehicle to be delivered from out-of-province.

Ruppe agreed on a price for the minivan, signed a bill of sale with the general manager, and paid a $1,000 deposit for the vehicle she expected would be delivered in two weeks.

But Ruppe said she called Village Honda a week later, to check on the van’s delivery status, and was told it would be another six weeks. She said she was also told the van would cost an additional $2,500, due to a financing error.

“And he didn’t even try to win us back as a customer either, like we had asked, ‘Hey we’re going to get winter tires, winter rims, other accessories, cargo mat …. could you give us a discount since we’ve had nothing but headaches?’ Ruppe said.

“And we were met with, ‘No, you’re getting a good deal already, no.’”

When Ruppe received a questionnaire from Honda Canada about her car-buying experience, the disgruntled customer gave Village Honda low marks, saying she would encourage others not to shop at the dealership.

The next day, Barry Jordan, Village Honda’s general manager emailed Ruppe, stating “the deal was cancelled yesterday because every turn seems to be a terrible experience for you. And it appears we are not able to live up to your standards as a customer.

“So for that reason Village Honda has terminated the contract and refunded your deposit in full.”

Ruppe said she filled out the questionnaire because Honda wanted the information, “and yet I was penalized for it.

“We thought it was quite childish,” she added. “We thought it was almost a joke.”

The dealership said it wasn’t obliged to sell the vehicle to Ruppe, since the contract wasn’t binding and they refunded her deposit.

In a phone interview, Jordan confirmed to CTV Calgary that he cancelled the deal, saying the customer was impossible to please. He maintained the contract wasn’t binding since Ruppe had yet to take possession, or pay full price, CTV Calgary reported.

Lawyer Jeff Kahane says, all it takes to create a binding contract is an offer, acceptance and consideration both ways to sell a defined item.

“I find it’d be interesting for them to argue that this wasn’t a contract, and if they just decided not pay, if there wouldn’t be consequences to it,” Kahane said.

In a statement to CTV Calgary, provincial auto regulator Alberta Motor Vehicle Industry council said, “Generally speaking, a signed bill of sale between a buyer and a seller would be considered final. There is no ‘cooling off’ period, so that means that once the contract is signed, in most cases, it is binding.”

Ruppe ended up buying a different van from another Honda dealership, and spent $10,000 more, since the less expensive model she attempted to buy at Village Honda is no longer in production.

She has also filed a complaint with the Alberta Motor Vehicle Industry Council.

With a report by CTV Calgary’s Lea Williams-Doherty