I turned 22 on October 6th of this year and I live in California. When I was 16 or 17, I had a car registered in my name. I sold it to this guy I knew and thought that my parents handled the paperwork. At this time, I didn't know everything that is involved with selling a car and figured my parents took care of it. Well, the car never got taken out of my name. The guy I sold it to sold it to another guy and he was driving it around still in my name. The second guy crashes it, and leaves it on the side of the road. I get a bill in the mail saying I owe $1,XXX amount to a tow truck (if I remember correctly). You know, I'm 17 so I didn't take it seriously. I figured it was the tow truck place trying to scam me or something because that sounded like an outrageous amount for a tow. It ends up going to collections and now it's on my credit. I just checked my free Experian report and it looks like it's up to $2,134 now. It also says that the collection agency opened the account 11/03 - the month after I turned 18. So it looks like they were waiting for me to turn 18. Obviously, this has me stressed because it is really screwing my credit. My question is about liability. When I tell people about my situation, a few times I've been told that legally I was not liable since it happened when I was a minor and that I should be able to dispute it, prove that I was a minor, and have it removed from my credit. Here are my questions: 1. Is it true that since I was a minor at the time that guy crashed the car that I was not liable? 2. Where can I look up the laws relevant to my situation? Where should I begin my research? 3. What steps should I take next? Should I dispute on the Experian website? Should I send any letters to the collection agency? 4. If buying some time with a lawyer is my best option, where can I find a competent one and how much should I expect to pay? 5. Any more tips? Thanks!
I would try to dispute it and see what happens. If they verify it, you'll have to talk with the company but I don't think they'd be helpful. Bumpy-bump-bump for more advice...
This "case" is a bit more complicated than it looks...I'll get back to you when I have a bit more time. Sorry, just crazy right now. But, there are a lot of "legal" issues here,and questions. You MAY be responsible for the debt, and would have to sue the 2nd owner for damages. More on that later....
I see you've posted this question on another forum, and it looks like I would only duplicate the answers given. You need to follow through all the paperwork, or lack of. In brief, towing companies usually know the law, and follow it closely. If you were the "registered owner of record" then they have a claim for the charges. You've got work to do. Follow this through step by step. You should be able to recoup from the second owner for damages.
Biz is right here . . . I think you would have to institute a civil action for contribution. The only question I have is whether the parents should be on the hook here. I'll have to look it up but, I know a minor cannot contract. However, I think that they can't be held liable (unless they affirm after majority) but, that they can sell items. Very wierd onion with many layers. May be a good idea to go speak with a general attorney and have them research the common law in your state.
You're saying age has no bearing here? I really don't have much to go through. I have no records of anything. It's been so long, I don't even know if I can still track down the first guy I sold it to. I only remember his first name. We were more of acquaintances than friends. The second guy who ended crashing it, I don't know who he was. If I were to find the guy I sold it to, I have no proof as far as I know that he even bought the car from me. Records of the car itself I suppose I could get, but what good would that do me?
Well, you'll have to check with your Motor Vehicles Dept. to see of the vehicle ever got registered in anyone else's name. But, it sounds like neither "owner" ever registered the vehicle.(?) Did you ever finalize by sending a notice to DMV? Or cancel registration? If you still have the VIN # for the vehicle, that is a big help, and place to start. So you have no "Bill of Sale", or any records for this vehicle? Lessons learned, you need to alert your state's DMV when you sell a vehicle by private sale. Cancel registration, and keep the tags/plates. Did you let the first buyer keep the tags/plates when he bought it?
Can you look up a police report for the "crash"? There are some starting points to work through this. Contact the towing company, they probably have a record of the driver at the time.
Biz, this is a real mess. I'm starting to beleive that the OP may be better off just to dispute this and hope it comes off. This thing is so old, it has to be time barred. It probably almost obsolete as well. I don't know but, maybe its better just to take a few easy measures and if they fail, leave it alone. I'm not in disagreement mind you, this just seems like to much trouble for something that is about to go by the wayside anyway.
I probably can get the police report, I don't see why not. The thing is, they don't know who was driving. He crashed the car and bailed. A cop even came to my house asking if I had a Mustang, I am assuming they were trying to find the driver. I told him I sold it because I got a new one and showed it to him in the garage. He basically said "Ok, thanks" and left. That tells me they didn't know who the driver was.
Real messy now . . . Personally, I don't think this is worth your time outside of disputing the entry on your credit reports. Its possible it could come off.
You've got a great point Apex, but it is messy regarding SOL timeframes here, too close to call. Although, things like this have a way of coming back to bite, this may come up when he renews a driver's license, etc. God forbid he happens to get towed by this same towing company! Goodbye new car! Bottom line here, the OP has to do the work, no it's not easy, but it can be done. Sometimes you have to bite the bullet, and roll up your sleeves.
In many states you can't keep the plates because they go with the vehicle. The plates belong to the state, not the vehicle owner. Even dealers don't remove the tags when selling a vehicle. They just put a dealer sticker in the rear window and off you go with your new purchase. If the tags are not expired the new owner can drive on them until they are either stopped for some reason by police and fined for improper tag display or whatever law applies in that state. The new owner must register the vehicle within a certain time or pay a penalty for not doing so but even if he does register the vehicle and take title he don't have to buy new plates until the old ones expire. I bought a used car in July and registered it and insured it but the plates won't expire until the end of November. (This month) So I didn't have to renew the plates at the time I registered the vehicle in my name. The problem in this case most likely arose from selling the car with an open title. If the seller put the name of the new buyer in the title then he is clear of any such problems as have been outlined here. Leaving the title "open" is the problem.
Eh, you're probably right but, being lazy isn't always a bad thing. Seriously, if it were me, I would probably get to the bottom of it to if for no other reason than piece of mind.
If I were the OP I'd check with the DMV and see if there is any issue that might be created vis-a-vis the OP's future ability to have a driver's license and/or register a car. If neither are affected, it'll be important to determine the SOL for suit, and verify whether any suit was initiated (there could be an unreported default judgment out there).
In my state, the tags are usually turned in to the MVA when the vehicle is sold. I don't believe you can transfer tags to the new owner. If you buy another vehicle within 30 days you can transfer them to the new vehicle. BUT--if you don't turn in the tags and the insurance company notifies the MVA that the car is no longer insured, you're in big trouble. In fact, if the tags aren't turned in and they find out you do not have the car, the police may show up on your doorstep. So OP needs to find out the laws in his state. He could have bigger problems than an entry on his credit report. As someone said, the next time he goes to renew registration or his driver's license, he could be in for a surprise.
