vehicle accident now threatned to be sued

[silvia r]

What is the name of your state? California

Back in April 2002, my father sold a car to a cousin. The cousin gave partial payment. About two days later, cousing was involved in a car accident and fled the scene. He never completed the process with the DMV. My fathers name and my name still appears on the title of the car. DMV acknowledges receipt of change in ownership, but since cousing never follwed through there exist an incomplete release of liability. Now we are being threatned to be sued and have our driving priviledges aswell as our assessts taken. What can I do?

 

[I AM ALWAYS LIABLE]

What is the name of your state? California

Back in April 2002, my father sold a car to a cousin. The cousin gave partial payment. About two days later, cousing was involved in a car accident and fled the scene. He never completed the process with the DMV. My fathers name and my name still appears on the title of the car. DMV acknowledges receipt of change in ownership, but since cousing never follwed through there exist an incomplete release of liability. Now we are being threatned to be sued and have our driving priviledges aswell as our assessts taken. What can I do?

My response:

Was the vehicle insured under Dad's, or your name, on the date of the accident?

IAAL

 

[silvia r]

i am always liable

Both my father and I were on the insurance policy, my father bieng the principal.

 

[I AM ALWAYS LIABLE]

Re: i am always liable

Both my father and I were on the insurance policy, my father bieng the principal.

My response:

Excellent !

Then, you'll be happy to know that you can turn any Summons and Complaint you'll be served with over to your insurance company for a defense, and your statutory liability isn't all that big and, if you should lose the lawsuit. Your insurance company will pay the damages pursuant to your limits of coverage. This is, of course, after your cousin is also sued by you in a cross-complaint.

By statute, the owner of a motor vehicle is vicariously liable, up to specified limits, for negligence of any person operating the vehicle with the owner's express or implied permission:

"Every owner of a motor vehicle is liable and responsible for death or injury to persons or property resulting from a negligent or wrongful act or omission in the operation of the motor vehicle, in the business of the owner or otherwise, by any person using or operating the same with the permission, express or implied, of the owner." [Ca Vehicle § 17150]

The purpose of this statutory vicarious liability is to protect innocent third parties in situations where it is impossible to collect damages from the negligent operator: "(T)his protection should be paramount to the rights of an owner who has permitted the use of his car by others even though he, personally, was not guilty of negligence." [Burgess v. Cahill (1945) 26 Cal.2d 320, 323, 158 P.2d 393, 394]

An owner's permissive use liability is limited to the dollar amounts discussed below. These limits do not apply, however, to common law negligence claims against the owner (or bailor); e.g., for negligent entrustment or negligent maintenance of the vehicle. [See Fremont Comp. Ins. Co. v. Hartnett (1993) 19 Cal.App.4th 669, 675-676, 23 Cal.Rptr.2d 567, 570]

Permissive use liability arising out of a single accident is subject to the following limits:

-- $15,000 for injury or death to any one person;

-- $30,000 for injury or death to more than one person; and

-- $5,000 for property damage. [Ca Vehicle § 17151(a)]

You're very fortunate that California places these limits on your liability. If it didn't, damages could have well exceeded your insurance policy, and then you would have REALLY been in financial trouble.

So, take a deep breath, and call your insurance company to report the accident and the facts. You'll be okay.

IAAL