I just sold my old car (more then 200K miles) to a person with and As-Is Warranty. We both signed a contract.
The car had been sitting in my driveway for at least 1 week. The person paid cash signed an As-IS bill of sale and drove off. When I came home I noticed an oil spot where the car used to sit for a week. So, I'm worried it's leaking oil. The car was sold for only $400.00 and I never knew it was leaking oil besides the other defects with it that I told them. Can the buyer's sue me.
Answers:
No, it's a binding contract both parties signed.
No. He may if he could prove you knowingly lied about the condition of the car, but as long as you disclosed everything you knew about, you are fine.
As for the oil leak, it may not be a problem. Older cars seals may dry out, when they sit, and cause a small leak. Many times, once it is driven again, the oil will moisten the seal again, and stop leaking.
Legally, you should be fine as your verbal description of the car's deficiencies, or lack thereof, did not affect the status of the purchase and would not over-ride the buyer's need for due diligence in determining the value of the car for himself. Just as your contract says, as-is where-is means just that in this case.
Morally, if you had no idea about the oil leak, then again, you are under no burden to further disclose details. However, if you thought it had a very small oil leak that would basically be undetectable and now you realize that it is worse than you thought and the buyer could reasonably assume you would have known about it, then, you might consider offering to change the terms of the agreement or cancel the sale and re-market it. It's not worth the hassle for $400 to have a problem. Especially where I am, any car that runs at all with 200k miles is almost always going to have an oil leak and yet would almost always go for more than $400. So, I would assume that the oil leak would not significantly effect the price you could eventually get if you have to re-market it.
Good Luck
If it's a very slow leak, then that's pretty common with older cars and is nothing to worry about. Cars with high mileage also tend to burn oil to some extent so he's going to have to add some oil to the engine in between changes anyway. And as-is means just that - no guarantees.
They paid $400.00 for a car. Trust me, they are happy that it drove off. You're good!
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