Hostage

[pottsj42]

What is the name of your state (only U.S. law)? CA

I have 2 cars financed through the same company. V-1 is now 2 months past due and V-2 the payment was due on the 10/28. I woke up the next morning to find that V-2 was repoed. I called the finance company on the cost to get it out and rep. told my the current payment and towing fees. After a long debate on what I was going to do. I called the finance company and told them that I would pay the $650 to get V-2 out and turn over V-1 cause I only had enough money to do one or the other. I even offered to drive it to them. Since V-1 is 1996 and had been in the shop since I bought it in May 2009 and V-2 is 2000 and runs great. I sent the $650 through MoneyGram and called on 10/30 to make arrangements to get V-2, the finance company said that they are not releasing it until I bring V-1 account current.
By CA law, can they do that?

[Zigner]

Originally Posted by pottsj42

What is the name of your state (only U.S. law)? CA

I have 2 cars financed through the same company. V-1 is now 2 months past due and V-2 the payment was due on the 10/28. I woke up the next morning to find that V-2 was repoed. I called the finance company on the cost to get it out and rep. told my the current payment and towing fees. After a long debate on what I was going to do. I called the finance company and told them that I would pay the $650 to get V-2 out and turn over V-1 cause I only had enough money to do one or the other. I even offered to drive it to them. Since V-1 is 1996 and had been in the shop since I bought it in May 2009 and V-2 is 2000 and runs great. I sent the $650 through MoneyGram and called on 10/30 to make arrangements to get V-2, the finance company said that they are not releasing it until I bring V-1 account current.
By CA law, can they do that?

Read your contract.

[pottsj42]

Sorry, there are 2 separate contracts. V-1 was purchased in may 09 under my name and v-2 was purchase in june 09 under mine and my wife's name.

[longsally111]

those are 2 seperate cars, financed at 2 seperate times in 2 different names. No, they cannot do that. Tell them that if they do not release the car, you will get an attorney to sue for the return of the vehicle. You can prove that you are utd on the payments and they should not have repo'd it in the first place. Have an attorney send the letter RRR giving then 10 days to release the car before they are sued. I guarantee, they wil return the car.

[Country Living]

Originally Posted by longsally111

You can prove that you are utd on the payments and they should not have repo'd it in the first place.

He is behind in payments on both cars.

Originally Posted by pottsj42

V-1 is now 2 months past due and V-2 the payment was due on the 10/28.

[longsally111]

so, they left the car behind that was 2 months past due and took the car that was 2 days past due? in the end, they are 2 seperate contracts and you are paid up on car #2 and they cannot legally hold it until you pay on car #1.

Call them, get a name, expain what they did , that what they are doing is illegal. Follow it up with a letter sent rrr giving them 10 business days to return the car or they will be sued. Them, if they dont return the car, file a suit. If they realize that they are holding a car paid utd for a seperate contract that isnt, they should return the car immediately. If not, they can explain it to a judge.

[JETX]

NO ONE here can tell you CORRECTLY whether their conduct is legal or illegal!!
The answer to your question (as correctly noted by Zigner) is in your contract. You will have to read BOTH agreements to see what rights, if any, that the lender has to 'offset' your breach.
And yes, failing to pay as you agreed IS a breach... even if by only one day.

[longsally111]

yes, by all means, read your contract......I would be amazed if you signed 2 different contracts with 2 different names in 2 different months and it says that they can take a car if you dont pay on another car.....please let us know.

[Zigner]

Originally Posted by longsally111

yes, by all means, read your contract......I would be amazed if you signed 2 different contracts with 2 different names in 2 different months and it says that they can take a car if you dont pay on another car.....please let us know.

If it's with the same finance company, it's entirely possible...and even probable!

[debtcollector`]

Originally Posted by Zigner

If it's with the same finance company, it's entirely possible...and even probable!

It doesn't matter -- they were both in default.

DC

[pottsj42]

here is a twist to that. the vehicle that was reposed was picked up at 10 pm the date that the payment was due. It was confirmed by the towing company.

[Country Living]

That confirms you didn't make the payment by close of business that day.

Repossessed.... not reposed.

[debtcollector`]

No twist. Either the repo company or the lender screwed up and sent the wrong car for pick up -- but you saved them from having egg on their face by defaulting on the car that day. Sucks to be you - karma's a bitc..

DC

[haplesshome45]

Sorry to disagree with the posts by the learned senior members, but they seem to have overlooked that these are Consumer Contracts and as such are all subject to the consumer protection statutes in your State.

Abuses like repossessing a vehicle at 10 pm on the payment date have long since been outlawed by Statute. You need to find the relevant consumer protection statutes for your State.

Default on a consumer contract is more circumscribed than that in a commercial contract. You would typically have an incident of default, described in the contract, but that description has to match that of the State's consumer protection laws. Then (typically) you have an ability to "cure" the default, and there may even be a provision requiring Notice, with a description being given to you of the nature of the default and what you have to do to rectify (or "cure") the default. In consumer lending cases, this is all carefully governed by State Consumer protection statutes.

I ran into this once when a lender screwed up and repo'ed an auto that was current. I instantly filed suit against the lender, and included an "Order to Show Cause" requiring the lender respondent to appear in Court to explain why they should not be Ordered to return the auto to me, and had the Sheriff serve the suit and Order (which first had to go before the Judge for his signature and a setting of the Hearing date) on the out-of-state's registered agent for service. The dumb lenders then threatened to move the car to an out-of-state auction. I went instantly back to court, got the Judge to sign an Injunction prohibiting the movement of the auto out of the Jurisdiction, and had THAT served by sheriff on the lender's registered agent. Nonetheless, the lender sent the car to the auction and sold it. I also filed the Injunction with the DMV to prevent the issuance of a new title. The lender then had to go buy the auto back from the purchaser as he could not title it, and hire a flatbed to return the auto to my door, and in settlement marked the balance of the Note PAID, which was about $11,000, and also paid me $3500 in cash to make my suit go away. And I still have the car.

I suspect you can come up with a similar result. Any cross-liability clause between two contracts may well be void by your consumer protection statutes, no matter what it says in the contract. But you do have a tangled mess. Go file your suit alleging breach, theft, conversion, unfair trade practices violations, and whatever else comes to mind. They are playing hardball; time for you to do so also.

If indeed they have breached consumer protection statutes, such as an Unfair Trade Practices Statute, then there may well be a clause in the Statute that provides for a Statutory money penalty for lender breach, such as $1,000. Also the Statute may provide for lender payment of your attorney's fees, and possibly double damages as well. In that case, you will find attorneys who specialize in suing lenders over abuses, since the fees get tacked onto the judgment. Make inquiries and find yourself an attorney who specializes in this field.

[debtcollector`]

You said it - you prove it.

Originally Posted by haplesshome45

Abuses like repossessing a vehicle at 10 pm on the payment date have long since been outlawed by Statute. You need to find the relevant consumer protection statutes for your State.

Show us where exercising one's contractual rights promptly has been defined as an abuse in cases similar to this. Don't forget to make sure you show proper relevant citations. Also, provide the state code you are referencing.

I'm saying your are full of crap. Prove me wrong or go away.

Originally Posted by haplesshome45

Default on a consumer contract is more circumscribed than that in a commercial contract. You would typically have an incident of default, described in the contract, but that description has to match that of the State's consumer protection laws. Then (typically) you have an ability to "cure" the default, and there may even be a provision requiring Notice, with a description being given to you of the nature of the default and what you have to do to rectify (or "cure") the default. In consumer lending cases, this is all carefully governed by State Consumer protection statutes.

Tell us exactly which provision of the poster's contract to which you are referring, the state law you are citing and how that law applies to this situation. Please.

I'm saying you are full of crap. Prove me wrong or go away.

Originally Posted by haplesshome45

I ran into this once ... auto that was current.

Completely different and you know it - or you don't know it, and are just too dumb to comprehend it.

Originally Posted by haplesshome45

I suspect you can come up with a similar result. Any cross-liability clause between two contracts may well be void by your consumer protection statutes

Look it up, post your cite or shut up.

Hap - you need to stop spreading false information.

DC