Question for people who really know. Prefferable a law student or lawyer...My sister gave me her car so that she could get one with cheaper payments and wouldent have to let it get repo'ed. I became unemployed and couldnt afford the insurance any longer. I had gotten into an accident. The accident was deemed my fault. There is a company that is now persuing medical and workers comp. from me. This company has already paid out to the other party but wants to get the money back from me. I have been told my only option is to either settle and pay or file bankruptcy. At this point in my life bankruptcy is my only option. Can this company legally then, after I file chapter 7, try to collect from my sister. Keep in mind that although she was the owner on paper I have been making car payments for several months. I was the one that was driving and got into the accident. My sister didnt know I was uninsured. Can they still take her to court and get a judgement or garnish her wages?
2006-06-30 02:39:32 · 5 answers · asked by ? 6 in Cars & Transportation ➔ Insurance & Registration
Thank you for your answers. I am not a terrible person, however, not responsible at that point in my life. Unfortunately even people who are down on their luck and cant afford insurance still have to drive. Other than that it is beyond excuses. The reason I asked if I could file bankruptcy without leaving my sister for the fall shows that I am not willing in any way to abandon my sister with a debt that is my responsibility. I would not even consider the Bankruptcy if I wasn't sure she would be "immune" to collections. Thanks for all your know how.
2006-06-30 07:49:04 · update #1
Both the vehicle's legal owner (name on title) and the operator are liable for any damages. You both can be sued.
You can be prosecuted for operating an uninsured vehicle and your sister can be prosecuted for allowing an uninsured vehicle to be operated on the public roads.
Your sister isn't just the owner "on paper". She IS the legal owner of the vehicle, not you. It doesn't matter who was making the payments. She could have taken the vehicle back at any time, and obviously she should have since she's about to be screwed due to your negligence.
The owner of the vehicle has a legal obligation to ensure that the vehicle is insured and the operator has a legal obligation to ensure that valid insurance is in force when operating a vehicle.
If your debt can be discharged through bankruptcy, then the other party's insurance company will most certainly go after the legal owner of the vehicle; your sister.
2006-06-30 06:37:51 · answer #1 · answered by Bostonian In MO 7 · 3⤊ 0⤋
There is no law to say they can't name your sister in a law suit. She is on the registration- so she has a vested interest in the property (the car). They can (and probably will) name as many ppl or companies in the law suit as possible to collect the most money (ie- your parents if you are still a dependent/ the lease/loan company if any/ the owner of the car etc).
Sorry. The truth is you know you should have had insurance. Now your poor choices may affect your sister and family. Be more responsible next time.
I don't mean to be too harsh- but someone needs to tell you this stuff.
Good Luck!
2006-06-30 05:38:17 · answer #2 · answered by bellytail 5 · 0⤊ 0⤋
The car was never legally transferred to you and your sister is the registered owner. Your sister was required to have insurance regardless if you were making payments. The lien holder on the car can also seek compensation because the car was not insured at the time and your sister not you signed the loan agreement. Remember "on paper" you don't exist.
2006-06-30 06:05:04 · answer #3 · answered by ric_ozz 3 · 0⤊ 0⤋
Yes, your sister could be liable - but its a long shot.
2006-06-30 06:12:38 · answer #4 · answered by PeppermintandPopcorn 3 · 0⤊ 0⤋
In PA. Yes
2006-06-30 03:52:12 · answer #5 · answered by Ironball 7 · 0⤊ 0⤋