Contract

Additional information
I bought a car from a private party and we agreed to payments. They stated that the car was still under financing from when they bought it, and when I paid the private party in full, they would use the payments I made to pay the finance company and then sign the title over to me. Three and one half weeks into our contract, the car was repossessed by the original finance company due to deliquency. I am not behind in my payments, but the car was in default when it was sold to me by the private party. Am I still legally bound by this contract since I believe it was signed under false pretenses. The private party claims that they did not know the car was in default status.