Legal Question in Credit and Debt Law in Michigan

auto title

I sold a car to a friend and I signed the title over to him, thinking I would get paid for the automobile. we have a contract, but he said that because I signed the car title and it is now in his name , I have no claim, Is this correct? thanks from a dummy!


Asked on 7/24/07, 6:57 am

2 Answers from Attorneys

Rochelle Guznack Law Offices of Rochelle E. Guznack, PLLC

Re: auto title

Dear Dummy:

Your so-called "friend" is not a friend, but is also a dummy (meant in the kindest sense, of course). The verbal agreement to pay you for the vehicle is enforceable, but you bear the burden of proof if you decide to sue. You might want to pursue this in small claims court which has a damages limit of $3,000. Is your former friend trying to set off the debt with money or something else of value that you owe him or her? Take that into consideration before suing.

Good luck.

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Answered on 7/25/07, 11:49 am
Audra Arndt Audra A. Arndt & Associates, PLLC

Re: auto title

You still have a claim because you had a written contract. Yes, in retrospect you should not have signed over the title until it was paid in full, as that gave you a lot more leverage. But you are not totally screwed. Tell him he's wrong and you will be taking him to court if he doesn't start paying. If you need help, let me know.

Thanks and good luck.

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Answered on 7/24/07, 1:23 pm


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