I placed a deposit for £1,000 in December 2009 for purchase of a new Toyota Prius from a UK main Toyota dealer. The anticipated delivery date was 1st March 2010. Naturally I was somewhat apprehensive when I heard the recent widely publicised news stories about the braking problems, potential devaluation (e.g. new models about to drop in price by £2,000, as reported in the Daily Telegraph and reduced resale values for used cars). When negotiating the deal in December before the story broke I did not receive any discount from the new list price beyond the £2,000 scappage allowance that my 10-year-old Ford Puma qualified for. Toyota tells me that the brakes on the Prius will receive the 'software upgrade' before the new car is released to me. On the deposit receipt "10% cancellation charge" is stamped in red. I had actually taken this to mean 10% of the deposit paid would be payable on cancellation but apparently it means 10% of the list price of the car meaning I would need to pay an additional £1,300 if I did wish to cancel the order. What is the legal position?