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Can you be responsible for a car that you sold to someone who never registered it so it's still in your name??


Question: My husband deeded or sold one of our vehicles either to his brother or a friend of his brother's who was supposed to register it and insure it about a month ago. We turned the plates in and cancelled our insurance on it. The brother lives in another town across the state. Apparently, the new owner (either the brother or the friend) never registered or insured the vehicle or mailed the title to the DMV. Now the cops have found the car abandoned at a train station and are holding us responsible because my H is the last owner of record. H's brother is a somewhat unstable character H has not been able to reach him via phone or email. Who is responsible for this vehicle? The insurance co. says once we turn in the registration and plates, it's out of our hands, but the new owner never turned in the title, registered it, or insured it, so we are the last owners of record.
Answers: The sale of a vehicle is usually considered complete when the vehile/title has been properly filled out and handed over and the money paid. That is, you then have a legal contract. In that the person never followed through and correctly had the titled transfered over is another issue.

Since the DMV was never told of the title transfer, you will now need to prove to the court that the vehicle was sold. You will probably need to plead not guilty (complete the paperwork) and ask for a court hearing. You can then present all our paperwork to the judge. I'm hoping you made a copy of the signed title and that the buyers information was filled out correctly? You should also take proof of the payment as well.
I don't know that law in your state but where I live (Washington) unless you send a seller's report to the DMV alerting them that you've released interest in the vehicle then you are still responsible for it. Check with your local DMV to be sure.
You have to look at it through the cops point of view. They just want the car out of there and the last person on record to own that car is your husband, so yes! to them you are responsible and you will need to get the car out. If you end up having to go to court and you have a bill of sale signed by the seller and the buyer then the judge will hold the buyer responsible for the car and any expenses that may have arisen. Although if you have no proof of the sale, either a bill of sale or a witness to the sale transaction it will be up to the judges discretion to choose who will be responsible. That decision will be decided by listening to the two sides of the story. So if the buyer is not at the court hearing then chances are there will be a win for you and a warrant for the buyer. The police are not judges and their just doing their job the best way they can with the information they have. GOOD LUCK!!
What is said above is correct and with a bill of sale that is signed and since you did turn in your plates and registration you will have nothing to worry about.

You will need to go to court and prove this however which will be no problem.

The police are doing their job and it works the same way if you were to sell a home and the buyer did not pay their part of the taxes, you would be contacted and sued for those taxes but your contract that you signed would clear you.


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