Legal Question in Civil Litigation in California
Purchased a vehicle in someone else's name...
MAR 2000, I needed a car, went car shopping with my mother. Decided what I wanted but the payments were too high so, in order to ''help me out'', my mother leased the car for me, in her name. We verbally agreed I would pay for everything (down payment, monthly payments, insurance-also in her name, maintenance, etc.). My mother, being self-employed, claims this car as a write-off on her taxes (she claims it is a company vehicle and since I was working for her at the time of purchase, she said this was OK for her to do). I quit working for her in AUG 2001. Now she is asking for the car back (our personal relationship has dissolved, unfortunately). I need to know what my legal rights are, if any, to keep this car and the low car payments like I had planned. Do I need to give her back the car? She has written me a letter asking me to return it to her no later than April 1st of 2002 or else, quote ''the bank comes to pick up the car''. I want to do whatever is fair & legal. Also, I have more than enough proof that this car has been used solely by me since the day it was leased, and that I have met ALL of my financial obligations regarding this vehicle (all payments to her, payments for regular maintenance, etc.)
2 Answers from Attorneys
Re: Purchased a vehicle in someone else's name...
If you continue to pay the obligations direct to the lessor, you may stall off the inevitable, but all communications will be to her. It would be best for you if you can to go to your bank and see if you can acquire the car yourself. But remember, the lease with low payments is a mirage - there will be a low mileage allowance, and you may owe the lessor a chunk of money at lease termination.
Re: Purchased a vehicle in someone else's name...
Thanks for your posting. As Mr. Smith noted, if you make the payments directly to the bank, the bank will have no reason to come pick up the car.
If the lease is in her name, she has the right to demand that you give her back the car. If you refuse to give it back, she can claim that you have "stolen" the car or no longer have her permission to use it, which could cause greater problems.
If there is a problem with the lease, for example, if you or her stop paying, then it goes against HER credit record, not yours, and that might be important to her.
Best of luck, and I hope this answer helps.
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