Legal Question in Credit and Debt Law in Indiana

I obtained a loan for 3000.00 for my son so that he could purchase a car. It is currently not running due to problems with the transmission. He contacted a lawyer and is trying to get out of paying for his obligation stating his name is not on the title. I have 4 witnesses that were present when he stated that he would repay the loan for the car. Is a verbal agreement binding, and is there anyway he could actually get out of his obligation. I was requiring him to pay 125.00 monthly for the next 3 years.


Asked on 10/30/09, 11:28 am

1 Answer from Attorneys
C. David DuMond Law Offices of David DuMond

For what it's worth, you have an enforceable claim against your son even though the amount exceeds the "statute of frauds" limit, since you have fully performed on your end of the bargain -- advancing the money to buy the car. (I wonder if the people in your family don't enjoy the resonance of the law's language. If so, see how this sounds: "equitable estoppel.") But what is really going on? Is the car in his name or your name? If it is "your"car, maybe you should just salvage it, and move on. Three thousand dollars is a cheap price to pay for never again getting caught in your son's "necessities." Good luck.

Read more
Answered on 11/04/09, 4:24 pm


Related Questions & Answers

More Credit, Debt and Collections Law questions and answers in Indiana