You're a bit unclear. Is the company that is suing you the same company who possesses your note to the car? If it's a credit card company suing you for only $1500, then it's likely an unsecured debt which means that your car cannot be repossessed. If, however, you're in default on your auto loan, then yes, the car can be repossessed.
DISCLAIMER: Brandy A. Peeples is licensed to practice law in the State of Maryland. This answer is being provided for informational purposes only and the laws of your jurisdiction may differ. This answer based on general legal principles and is not intended for the purpose of providing specific legal advice or opinions. Under no circumstances does this answer constitute the establishment of an attorney-client relationship. For legal advice relating to your specific situation, I strongly urge you to consult with an attorney in your area. NO COMMUNICATIONS WITH ME ARE TO BE CONSTRUED AS ARISING FROM AN ATTORNEY-CLIENT RELATIONSHIP AND NO ATTORNEY-CLIENT RELATIONSHIP WILL BE ESTABLISHED WITH ME UNLESS I HAVE EXPRESSLY AGREED TO UNDERTAKE YOUR REPRESENTATION, WHICH INCLUDES THE EXECUTION OF A WRITTEN AGREEMENT OF RETAINER.
They cannot repossess your car. They can get a judgment against you and then try to enforce a judgment which may include forcing the sale of the car. You need to speak to someone who handles BK matters.