I had no contract with my daughter to repay auto loans I took out for her. Can I take the cars back?I purchased two vehicles for my daughter and son-in-law. The loans are in my name only and do not use the auto's as collateral. They had been payment me on both loans for the past year and now have stopped. I have a papertrail shoing they have paid and also showing the monies for the auto's came from my account. I believe this provides evidence of a verbal contract, my question is- If I take them to small claims court to collect on the payments, can I also ask the judge to award me title to the cars. As I would like to sell them to pay off the loans. I am not currently on the titles. Attorney answers (1)
Probably not, but you can get a money judgment and use that to have the vehicles seized and sold to pay the debt. In most states, if your name is not on the title to a motor vehicle, then you don’t have any legal interest in the vehicle at all. Signing on a loan contract is not the same as having your name on the title to the vehicle either. If you sign for the loan, as a cosigner or not, in most states you are liable for the full loan. And if you signed on the loan, but did not get your name put on the title as either an owner or a “lienholder” then most states say you still have no interest in the vehicle at all and no right to possess the vehicle. A loan company may have that right because they put a lien against the title, but even if you loan money to someone to buy a car, you still don’t get a lien against the title without taking the extra steps to do it. Just giving them money is not enough. They may still owe you back the money you loaned them, but most courts will not make them turn over the vehicle to you until you sue them and get a judgment against them and then get a court order to “execute” (seize) the vehicle so it can be sold to pay toward the judgment you have against them. To find out what this means in your situation and in your state you really need to talk to a local Consumer Law attorney near you. Call your local attorney's Bar Association and ask for a referral to a Consumer Law attorney near you or you can go to this web site page for a Free Online 50 State National List of Consumer Law Lawyers (http://www.ohiolemonlaw.com/ocll-site/ocll-loca...) and find one near you (lawyers don’t pay to get listed here and most of them are members of the only national association for Consumer Law lawyers, NACA.net). But act quickly because for every legal right you have, there is only a limited amount of time to actually file a lawsuit in court or your rights expire (it's called the statute of limitations), so don't waste your time getting to a Consumer Law attorney and finding out what your rights are. If this answer was helpful, please check the box below.
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