Legal Question in Consumer Law in Texas

Illegal Sale of a Used Vehicle

Can a used car dealer sale a vehicle that they do not have a clear title for? We purchased a car in Nov '04 and according to the vehicle history report that dealership did not have a title issued to them until March '05. It was a salvage title. The Texas Transportation Code states that a person who holds a salvage title may not operate or permit the operation of the motor vehicle on a public highway. I made my son stop making payments on the vehicle because they were never able to produce a title in both of our names so we could get a valid registration. In the midst of all of this, they continued to issue paper tags and told us we would have to pay tax, title & license fees before they could switch the title. Title does not state ''Reconditioned or Rebuilt'' anywhere on it. My son's contract does not provide the amount to be paid for TT&L nor does it give a date of when it should be paid. It states the amount of vehicle, the down payment made and a note at the bottom that states ''tax not included.'' My son got stopped for his paper tag being out and they impounded the car. We sat all day that day to get the title switched over, but the dealer claimed he lost the title and would have to get one from Austin. Small claims court?


Asked on 4/25/06, 1:53 pm

1 Answer from Attorneys
TC Langford Langford Law Office

Re: Illegal Sale of a Used Vehicle

Absolutely. You need to sue in small claims court. Your goal is to make them take the car back, you get your money back, as well as any impound fees. The valid sale of a car includes not only the vehicle itself, but clear title to the vehicle. Review the Attorney General website on these issues as well as DTPA issues.

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Answered on 4/26/06, 9:53 am


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