Friday, October 31, 2014

If you sold a truck to a friend and there is no security agreement and no title can you still repossess the truck for failure to pay?

If you sold a truck to a friend and there is no security agreement and no title can you still repossess the truck for failure to pay?
If you've already signed away the title, no. The old wisdom goes something like: "A verbal contract isn't worth the paper it's written on."Not really much of a friend, is he.Verbal contracts are binding in all US states.The difficulty is in proving one's claim. If the seller has proof that the buyer made any amount of payment, has witnessess to the transaction, then a case can be made.Such a case, as indeed in lawsuit is not guaranteed a specific outcome.The other issue is the exact meaning of "no title". If there was not a clear title to the vehicle then a valid sale is not possible.The orignal owner can obtain a copy of the vehicle title from the state DMV. A buyer who simply has possession of a vehicle with no proof of previous ownership/seller cannot legally register or insure the vehicle.

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