Legal Question in Consumer Law in Alabama

Fraud in automobile purchase/lease

Merchant failed to make it possible for us to obtain

a good registration for vehicle purchased by us from

them. The merchant was late with proper paper work

for initial purchase of tags. Then was at least 3 weeks late providing subsequent tags. We were never

late with any payments. The merchant repossed the

vehicle on May 16, 2001. The next payment is not due

until May 25, 2001. We were told that it was reposessed because there was no insurance in force at

the time. However, when we contacted our insurance

company, we were told that there is nothing wrong with

our insurance. Upon further research I found that the

merchant had leased us a vehicle still registered in

someone elses name and that is the reason that they

never let us purchase the tags for the vehicle. My

insurance company states that the merchant is bound

by law to provide us with the peoper paper work that

will allow the vehicle to be titled in our names.

My insurance company also states that we cannot legally purchase insurance for the vehicle unless our

names appears on the title somewhere and that this

auto dealer knows this and has used this tactic in

order to defraud us and take our money.

1 Answer from Attorneys

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