Posey v. Ford Motor Credit Co

111 P.3d 162 (2005)

Purchase the Printed Copy at bsmsphd.com

Nature of the Case

To access this section all you need to do is click here and register.

Facts

P signed a contract to lease a new Ford truck from a dealership. The lease agreement called for 48 monthly payments of $635.43, with an option to purchase the truck for $9,514.00 at the end of the lease term. P alleges that about three days later a D representative informed P of errors in the agreement regarding the lease term and the identity of the lease. It should have been 36 months instead of 48. On January 24, P and the dealership, as lessor, executed a new lease agreement. The lease was a pre-printed form with blanks into which entries were typed. The blank at line 7(n) for 'lease term in months' was not filled in, but at two other places on the form, the lease clearly called for 48 monthly payments of $ 612.72 per month. The lease also provided that Posey would have the option to purchase the vehicle for $10,873.60 at the end of the lease. The space on the form for identification of the lease 'holder' was also left empty. P signed this lease, allegedly without noticing that it again provided for a 48-month term. On January 31, 2000, a letter concerning the January 24, 2000, lease was sent to P and detailed out that the lease should be for 36 months. It stated that no further action was required from and that P should keep this notice as his record of the change(s) made. P made 36 monthly payments and then tried to exercise his option to purchase the truck for $10,873.60, but D refused. P sued D alleging breach of contract and violations of the Consumer Protection Act. D moved for summary judgment arguing the common law parol evidence rule. D also claimed the modification on the January 31 letter was not supported by consideration. The court granted D's motion, and P appealed.