Contract law backdating
Contract law backdating
For example, although the sale of a business could be conducted entirely without writing, the parties will be required to submit a notice (in South Australia called a ‘71E Statement’) to their State Revenue authority about the sale and pay Stamp Duty on the sale as if a document had been drawn.
Many clients have called and asked us if it is legal for car dealer to to backdate a contract? Typically, contract backdating occurs when the auto dealership finds out that the original financing was not approved, requiring them to sign a new contract.
In the District, held that an auto dealer who placed the original date of the sale on a rewritten contract was “backdating” a contract in violation of certain state and federal laws.
However, prior to the publication of on July 15, 2010, retired Judge Dallas Holmes issued an earlier decision in the Raceway Ford case on April 16, 2010, rejecting the backdating legal theory.
Most smooth talking salesmen from the dealership have experience with convincing buyers to sign a backdating contract with many valid reasons to change the date.
The best backdating reason is convince buyers that the new auto contract will be better for them in the long run. We recommend never to sign a backdating contract with the incorrect date on it, not matter what.
In any event, it is an inferior way of dealing with the true legal state of affairs.
The need to document transactions is partly based on commercial necessity, and partly on legal necessity.In general, backdating contracts is illegal, and the law doesn’t leave much grey area on the topic.The backdating contract laws are as black and white as the documents they govern.Appellate panel later ordered a Trial judge to reinstate his initial decision in a case involving Raceway Ford, rejecting the backdating legal theory, despite the fact that the lower court’s ruling seemingly conflicted with .Meanwhile, the conflicting cases and legal theories have created uncertainty in one of the most important areas of automobile retail sales – the rewriting of automobile sales contracts – and highlight the contentious relationship between the auto industry and the law firm pursuing the backdating cases, the Rosner Law Firm of San Diego.Our goal is to get you in the car that you want, at a fair price.