Legal Question in Civil Litigation in New York

Lien on Auto

My daughter (19) was involved with a guy & during the relationship, because his credit was bad took out a loan in her name for a truck. The guy then wanted a motorcycle & told my daughter that they would trade in the truck for the motorcycle. She had a loan for a truck ($18,000) & informed the dealership of that but the title showed no liens. The trade in was done & my daughter was told not to worry about the truck loan by the bike dealer, it would work out even. The bike dealer took out another loan on the bike, different bank for 7,500. Told her that it would just even out. The bike dealer sold her a bike around 15,000. The truck loan bank calls my daughter & tells her that she is late on her payments which in turn my daughter tells them that she traded the truck in for the bike. Long story short. The bank had to send out for a new title. In the mean time the motorcycle place still has possession of the truck. I called them & tried to inform them that the truck had the lien, but they were very rude & pretty much told me that it was their truck. My daughter has to default on the truck loan. My question is, we can salvage the loan on the bike by selling it and still make some profit on it. Will this create any problems?


Asked on 8/25/05, 1:58 pm

1 Answer from Attorneys
Meyer Silber The Silber Law Firm, LLC

Re: Lien on Auto

Sounds messy. What does the bank say now? The dealership may have committed fraud, but so did your daughter by not disclosing the liens. However, it seems like the bike and the truck are not releated as far as the loans go.

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Answered on 8/25/05, 3:29 pm


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