I sold a car to someone with out the title.There was a lien on the vehicle. The lender and I had an agreement for settlement to get the car title and release the lien. The agreement we had was broken, (the settlement offer kept going up,so I refused to pay). Long story short, The guy bought the vehicle, sat and waited for the title. The car ends up getting reposessed. I gave the buyer a full refund from the sale. Now he is asking for money he had invested into the vehicle. What are my legal obligations? Is this a criminal offense? Or is this a civil matter?
As long as you informed the buyer of the situation with the title, then I do not believe there could be any kind of criminal offense. Whether or not there is a civil matter is hard to say. Depending on what you said to the buyer, he may have been on notice of potential problems and should have held off on investing in the vehicle.
A lot would depend on what kind of expenses he is looking at. If we are talking $100, I would just pay him. If we are talking $3,000, then I am not so sure.
You may want to check with an attorney to see if you might have a claim against the lienholder. There is something in your summary that just does not sound right. There should have been a definite settlement amount for the lien release. It does not sound like this was the case. Of course, there may be other crucial facts that have not been included in the summary. As you say, it was a "long story."
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The answer to this question depends on what you told the buyer and what he knew about the lien issue. If you concealed that you did not hold title to the car, you could possible face criminal issues. Provided you disclosed all these issues, any issues would likely be civil in nature. Again, what the buyer is entitled to is dependent on what you agree to at the time of the sale. Whether you should hire an attorney depends on the amount the buyer wants and whether there is a possibility of criminal charges.
DISCLAIMER: Please be advised that this post is not intended to constitute legal advice and is for informational purposes only. This posting in on way creates an attorney client relationship. You should contact an attorney to protect your interests.
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