Legal Question in Business Law in California

civil case

My daughter (24) rented a car at a rental agency. she only had liability ins. and didn't want to buy extra coverage at the rental agency. while driving the car she encounter a rock in the roadway and suerved but wasn't able to avoid it, the car suffered damages to the oil pan and other parts under the car. in good faith she gave the rental agency $200 but they replied that she owed a lot more. about $6.300 because the also had to replaced the engine, due to loss of oil and damage to the engine! After disagreeing with the co. they refered us to the collection agency. She asked them that if we have to pay for the engine then we want the damaged engine so that we can sell it and recoup a little bit of our money, and the answer was: the engine is ours and we do whatever we want with it even after we pay!

I believe they are not acting in good faith, They also said they already sold the engine and they can't give it back! Right then we broke all comunications and now they served my daughther with a Case Management Conference. My daughter doesn't have any money, we don't know what to do! Please advise.

Thank's.

(Dad)


Asked on 4/21/03, 4:27 pm

3 Answers from Attorneys

Re: civil case

Mr. Whipple's answer is very good. But you said your daughter has no money. Rather than defending this case, she could consult a bankruptcy attorney. Sometimes the threat of bankruptcy is enough to convince a creditor to accept less than the full amount paid over an extended period. If not, there may be no practical alternative to bankruptcy.

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Answered on 4/23/03, 12:38 pm
Jason Hsu Una Law Corporation

Re: civil case

As stated, you will need to go through the rental agreement with a fine tooth comb to gather the details re liability.

Also, the CMC statement is for case management. But if you have not already answered the complaint, you should do so. One option is bankrupcty, but you should know the consequences of this and it may not be the best for your situation.

We may be able to assist you if you are in southern california, you may contact our office for more information.

The information provided to you is of a general nature. We hope this information has been helpful to you, but you should always obtain competent legal counsel who is familiar with your specific legal issues to determine the best course of action. If we can help you in the future with anything, please feel free to email or contact us at www.unalaw.com

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Answered on 4/23/03, 4:46 pm
Bryan Whipple Bryan R. R. Whipple, Attorney at Law

Re: civil case

First, your daughter must read and understand her copy of the contract she signed. Most of these are pretty tough on the renter and have been tested in court so the rental agencies know they are enforecable. Road hazards like rocks in the roadway are probably liabilities that the renter fully assumes.

Also, I can't cut your daughter any slack or extend a ray of hope over the consequences of losing the oil. Drivers are supposed to know that when the lube oil pressure can't be maintained any more, as shown by the "idiot light" coming on, you pull over and shut the engine off immediately to prevent severe damage.

On the other hand, over six grand for this claim seems VERY high. They must be throwing in a lot of towing, lost availability time, a super-premium replacement job, and probably the kitchen sink as well.

Offering two hundred bucks to settle this is, as you must realize, a joke. There is no way on earth this could be enough to handle the claim. This must have been the deposit she made, but merely forefeiting the deposit is not good faith.

Finally, a "case management conference" document is one of the least important papers that are served on the defendant at the outset of a lawsuit. Much more importantly, your daughter was almost certainly also served with a Summons and a Complaint. She needs to pay heed to the summons, which requires that she respond in a certain way (described in the summons) within 30 days of the service upon her, or risk a default and entry of a judgment against her.

Unless she is willing to accept a default judgment, which is unwise for most folks, she needs to retain an attorney to prepare a response on her behalf. At a very minimum, find a lawyer that will give her a half-hour free consultation before the default date.

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Answered on 4/23/03, 2:04 am


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