Car title was signed over, and now the ex owner is trying to sue for more money...?

Question

we got a car from someone and he signed the title over to us and now he is taking us to court to try to get more money. this was a verbal agreement, no paper work was ever made.

can he really sue us and win, even though he signed the title over to us??

we had paid 2500 for the car plus repairs, we found more problems and mechanic said it had a cracked head the previous owner said he would give us the title not to pay anything else, so i told him he could have the car back he didnt want it. he gave us the title we gave car and title to junk yard for 300.00, now hes changed his mind and wants more money,

Answer 1

If you paid the full amount that was "verbally" agreed upon and have a receipt (cashed check), you're good to go. If you paid cash and have no receipt, it's his word against yours---since you have title, the judge rules in your favor. If you gave a down payment and are trying to renege on the rest of the money, you might have a problem.

Answer 2

If this is a state where the titled is not surrendered until the payment of the vehicle is paid in full, you shouldn't worry. He cannot sign the title over to you, and then decide he wants more money. If that was the case, this would be happening all the time and no-one would ever get their cars free and clear. There would have to be lien information written on the title naming him as the lien holder.

Why would you pay someone $2500 for a car only to turn around and sell it for junk for $300? That does not make any sense whatsoever.

Answer 3

Unless he has a document where you have signed to confirm you are taking possesion of the car but agree to pay a further sum, I'd have thought any "sensible" court would throw his case out.

He signed the car over to you by transferring ownership, at which point in the absence of any other paperwork, the car is legally yours and he has no "legal" foundation for the claim.

Buying or selling any item of value, car, trailer, etc, you should ALWAYS make out 2 receipts, even a hand written note with buyers name and signature, sellers name and signature, date and time (in case of traffic violations occurring on day of sale of a car) accurate details of item (eg car chassis No) and purchase price, and method payment.

With this piece of paper, which takes 2 minutes to prepare, no one can argue anything. Both parties keep 1 copy (both originals, and sign both)

Answer 4

Can he really sue you? Yes, people sue over all sorts of crazy things.

Can he win when all either of you have is a verbal agreement? Yes, it's possible. That's why you always get everything in writing!

If you never got a bill of sale, then you must have had to declare the purchase price when you registered the vehicle because Uncle Sam wants his sales tax money (assuming this is in the USA). So there's some proof on your behalf!

Answer 5

I have bought and sold many cars in many states and as I understand it, the selling of a vehicle is or should be with a bill of sale that spells out the terms of the sale. In most states a bill of sale must accompany the signed title in order for you to get it titled in your name. Check with the DMV in your state. If a bill of sale is necessary and you do not have one, then court is the only way to get a court order to the vehicle. It would be up to the judge as to who he believed. If you have a witness that heard the agreement it would help your case.

Answer 6

Once that title is signed over there is little he can do. No paper work no proof. Do you have any kind of receipt of the money paid to him. He might be able to get you for receiving stolen property. Maybe you should get some legal advice. I feel this can go either way.

Answer 7

Yes he can if he can prove that you told him you would pay him more money than you did. It comes down to who the jury believes...because it is possible he took a down payment and offered to take payments...so you just have to be more convincing to the jury....unless you are in a state that has
the $500 dollar written requirement for the statute of Frauds...this states that a contract for a sale of goods...in this case the car...for over 500 dollars must be in writting...so you should contact an attorney and find out what your state's requirement in this area is.

Answer 8

If you have the title, and he has nothing in writing, he's pretty much wasting his time and money unless there is a witness or another circumstance.

Of course in this day and age, anything can happen in a courtroom; if you did promise him additional cash, do the right thing and work it out.

Answer 9

Given that you are the actual owner of the vehicule now, he has no rights pertaining to that car.
Consequently, he can't make any valid claim until it is proven that the signature signing the title over is false, or obtained by illegal methods.

Answer 10

Show the judge the title. It should also recite how much you paid. Bring any evidence of payment too, such as a cancelled check or receipt. You will have the upper leg.