Julian, while SOR might be a better option for the trader, I have heard of one Morgan owner who had some degree of complexity in receiving the funds from the sale, and in the end did not receive the full amount, and took another car from the trader to make up the approximate value expected...
Also there is a rather long running story in the Porsche world of an English trader who got up to all sorts of tricks with cars both in for repair and SOR...The numbers and antics were staggering...
So it would seem to have some sort of insurance on your vehicle that might cover any situation when in the hands of a trader, as it seems one Porsche owner seems to have had...
Might be best to be careful out there in a falling market where traders may be struggling..?
George, this is a very valid point. I'm also aware of the story, with regards to Porsches, that you mention and it, as well as a few others, are cautionary tales.
Whilst there are many in the car world who do SOR in an above board and professional manner, there are some who use it to 'bend' laws that are in place to protect the consumer and minimise risk to themselves but ensure maximum profit.
I've had a first hand experience (not involving a traditional Morgan sports car) where the dealer took my car on SOR and once he had found a buyer, rather than being involved in the deal, wanted to have the buyer pay me directly, less the amount of commission, which the buyer would pay to the dealer directly. So he wanted to change SOR, where the buyer had protection by buying from a dealer and seller (me) was protected by his insurance, to one where he was simply making an 'informal' introduction.
Your other point reference insurance is another interesting element. If a car is with a dealer on SOR, technically you would assume that the dealers insurance covers the car, including test drives, for either damage or a total loss; however, this isn't always the case and it is worth reading the small print on anything you are asked to sign. Furthermore, if you are not asked to sign anything... perhaps that is even more troubling.
