Legal Question in Credit and Debt Law in Michigan

I sold a truck to my cousin for $800 dollars in 2006.

Then this week I receive a letter from collections stating that the vehicle had been abandoned, towed, impounded, and sold at auction. Apparently my cousin never had the title transferred into his name when I sold it to him. So now collections is coming after me for $500 the remaining balance owed to the towing company.

My cousin will not return my phone calls and I am unsure how proceed.


Asked on 2/09/10, 7:06 pm

1 Answer from Attorneys
Stuart Collis Collis, Griffor & Hendra, PC

Under Michigan law, you're still the owner until the title is transferred. If you have a receipt and all of his contact on it, you may be able to avoid liability. Otherwise, you're going to have to sue your cousin to get this paid off.

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Answered on 2/15/10, 12:21 pm


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