Is this money making idea legal?

Question

Lets say I went to a mercedes dealer and put a car on hold, that cost exactly $75,000. I put the car on hold for 7 days. When I went to see the car I took pictures of it. During the 7 days I had the car on hold for, I posted the car on ebay for more than $75K, so I could make some money. The person paid for the car, I took the money needed to pay for the car, and kept what was leftover. Now, I did not do this, but it sounds like a good idea. Is this legal?

Answer 1

well, it all depends on how you posted the add. it is ok to buy things for someone, but if you misrepresent things in any way you probably would be liable for monies made if they brought you to court.

Answer 2

Yes, you can do this. This isn't rare. I wouldn't actually sell the car, but the opportunity to buy your interest in the car.

Often times when a new model comes out it's hard to buy. There are often waiting lists and the car being sold goes for more than MSRP (i.e. t-bird, hybrids).

Careful to not buy a car that is not in demand. If someone could just go to their local Mercedes dealer and buy it for $75,000 then why would they pay you $78,000 for it?

You need something from the dealership showing that you have a SPECIFIC (With VIN) car on hold for you. Stating that you are buying the option to buy the car and not actualy buying the car is important? Why? Say there is an accident where Mercedes is at fault. As you sold the car new with a warranty they would come after you (and Mercedes) as you sold them the car.

Ebay sellers did this with gaming consoles like the PS3 and Wii. Sellers had to show their receipt to prove they had made the purchase already. Although you don't need to prove you bought the car, the idea is the same; you have to show your legal interest in the car.

I'd also require a $500 - $1,000 deposit on the car to hold it (non-refundable).

I'd ask the dealer for a letter, but be vague on details. If you have a car that IS in short-supply and you plan on "flipping" it they may not allow you to do it. Or worse yet, they (or a salesman) may steal your idea.  

Answer 3

Since you don't hold the title to the car that you sold on ebay, you technically have no right to sell it. Also, the person who paid for the car would have demanded the title in exchange for the money.