I am trying to help out some friends who just purchased a used vehicle from a Private party (pp) they went to register it and change title to their name they live in the state of CA and the DMV told them that there is outstanding fees & penalties from the previous owner and if they wanted to register that vehicle they would be responsible for the previous owners debt! what !!!! do you know of any laws that I can find in relation to this ? this cant possibly be legal making someone else liable for a debt. I need to figure out how to help them approach this whole thing. I thought of having them pursue the previous owner in small claims but dont know if that will work any suggestions?
Small Claims may be the only way to go. The consumer purchased the car based on the good faith belief that they could register the car for themselves. If possible, get that in writing from the state DMV, then make it clear that the PP has two options. (or be sued for either/or... ) * Pay the DMV the outstanding fees (so that they can register the car). * Buy back the car, at the exact price paid. Most gov't agencies do have these types of preposterous 'inheirentance' policies on the books. DMV's, Munincipal Utilities, etc. Just because it's legal doesn't mean that its fair.
That's the reason for the either/or If they don't want to pay the $800 - or can't, then they have to buy the car back at the full amount paid, since the sale was conditioned upon the good faith belief that the car could be titled in the buyers name. But chances are they won't do either voluntarily, it will need to be ordered by the court.
does anyone know where to look up laws /regulations for the state of CA? and if a new owner of a used vehicle can be held liable for the previous owners registration fees ???
It's possible... Don't Know about Ca, but in Ga - if the vehicle hasn't been registered for some time, the NEW owner is responsible for owed ad valorem taxes & tag fees (i've had to do this with 2 vehicles)... check with state/county tax commisioner & tag office for info Also, I agree with jam..make 'em take it back or pay the amount owed S23
