Legal Question in Civil Litigation in Michigan

Vehicle lease obligations

I leased a vehicle a little over two years ago for my then girlfriend. The lease is entirely in my name. We broke up six months later and she continued to have possesion of the car and pay the monthly payments to GMAC and the monthly insurance to me. In August she stopped making payments and the result is the car has been repossessed by GMAC (from her). The car will be sold and I am responsible for the difference in what is owed and what it sells for. Is is possible to sue her for the amount I have to pay and the back insurane even if the car is in my name?


Asked on 12/02/01, 1:23 am

2 Answers from Attorneys
William Stern William Stern, P.C.

Re: Vehicle lease obligations

Yes.

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Answered on 12/02/01, 7:14 pm
William Morrison Action Defense Center

Re: Vehicle lease obligations

It depends on the reason why you leased the car for her use. Did she have bad credit and needed you as the lessee? Was this a re-lease from a previous lessor who gave you a preferred rate?

Did you intend this as a gift? Make an agreement with her in writing? Did she understand that you were acting as a guarantor and entitled to repayment if she defaulted? What consideration (if any) did she give you for this transaction? Did you benefit in any way?

Its always possible to sue, but is it practical? Suing is one thing; winning is another; and recovering your money after you win is still another.

You should ask yourself if you really believe suing her would put you in a better postion (overall - not just money). If there are other issues that you wish to resolve with her by using a lawsuit as the means, I wouldn't do it.

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Answered on 12/02/01, 10:28 pm


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