It's possible, but I would need more facts. First, how old is your daughter? If she is a minor, you could be liable. Assuming she is not, it looks from the facts that you passed title to her months leading up to the accident, and she failed to register the vehicle, pay taxes (if any), and get new tags.
The transfer of title should be enough to help you avoid liability. However, since the vehicle was still titled in your name when the accident occurred, you will in all likelihood be named in the lawsuit.
Please tell me you had insurance -- contact your carrier to discuss -- you may want to start with your agent!!
In no way am I offering you legal advice, and in no way has my comment created an attorney-client relationship. You are not to rely upon my note above in any way, but insted need to sit down with counsel and share all relevant facts before receiving fully-informed legal advice. If you want to be completely sure of your rights, you must sit down with an experienced criminal defense attorney to be fully aware of your rights.
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