my grandparents are suing me

[Dancequeen19]

What is the name of your state? PA

In 2000, I was in a car accident, not my fault, and my car was totaled. My grandparents lent me their car and offered to buy a new one for me. They wanted me to have something new, less problems they said. They told me since they didnt need the money,(they were well off at that time) that anything I gave them monthly would be put into a CD to earn interest. They said that I should be saving money and it would teach me responsibility, I agreed and paid them a total of almost $4000 over 2 years. I knew it was going into the account because she would show me deposits made and interest earned on the bank statements. I recently had to quit my job because of health reasons, had no income and let them know of this. They said it was ok and that I didnt have to give them any money. After I got married, it seemed as though the sh*t hit the fan and she sent me nasty letters saying she was going to make me sell the car if I didnt repay her. There is nothing to pay! She told me that the money from the account is gone, they took it out, and I confirmed that w/the bank. They are taking me to court over this. Can they change their mind in the middle of the agreement like that? This was a gift! They've also lost alot of their retirement money recently because it was in stocks. I think they are just looking anywhere they can for some money!

Jenn

 

[djohnson]

Who's name is the car and insurance in? Who's name was on the bank account?

 

[Dancequeen19]

The title and insurance is soley in my name. The bank account was in their names and mine listed as the "trustee" in other words, I was the one the account was for.

 

[djohnson]

I'm not an attorney but one will jump in here and correct me if they have a different opinion.

The car is legally yours, so they can not sell it. The money in the account they had a right to do with it what they wanted if there name was on it. If there is no legal contract and no verbal contract about paying it back then there is little they could actually sue you for.

 

[stephenk]

without anything in writing it would be your word against theirs. The fact the car title is in your name and no paperwork regarding payback of a loan, it looks like the car was gifted to you.

 

[cur7is]

I agree with stephenk...and what you said about them losing money in the stocks and looking anywhere they can for money...Tell the judge what you told us. If there's no contract and the car's in your name, like stephenk said, it appears to be a gift. There isn't anything they can do about it. I suggest, after this, to keep the contact with your grandparents minimal.

 

[Dancequeen19]

I plan on letting them make the attempt to repair the relationship, after all, I am 3 months pregnant with their first great grandchild and all they had to say about it was "that's not our problem." Thanks to all who replied.

 

[JETX]

Sorry, but I have a different spin on this one.....

You said, "They told me since they didnt need the money,(they were well off at that time) that anything I gave them monthly would be put into a CD to earn interest."

It is clear from that statement that this was a loan.... with an expectation of repayment. This is further proven by your own statement, "They said that I should be saving money and it would teach me responsibility, I agreed and paid them a total of almost $4000 over 2 years."

Those payments could be used to show a court that this was in fact a loan.... and since you say that they have already sued you ("They are taking me to court over this"), if they present this to the court, they will probably get a judgment against you.

You further asked, "Can they change their mind in the middle of the agreement like that? This was a gift!"
It doesn't appear (to me) that they changed their mind at all. And the facts show it clearly was not a gift.

The statements of the car in your name, the insurance in your name, the existence of the CD, etc. do nothing to negate the fact that this was clearly a loan.

 

[cur7is]

Sorry, but I have a different spin on this one.....

You said, "They told me since they didnt need the money,(they were well off at that time) that anything I gave them monthly would be put into a CD to earn interest."

It is clear from that statement that this was a loan.... with an expectation of repayment. This is further proven by your own statement, "They said that I should be saving money and it would teach me responsibility, I agreed and paid them a total of almost $4000 over 2 years."

Those payments could be used to show a court that this was in fact a loan.... and since you say that they have already sued you ("They are taking me to court over this"), if they present this to the court, they will probably get a judgment against you.

You further asked, "Can they change their mind in the middle of the agreement like that? This was a gift!"
It doesn't appear (to me) that they changed their mind at all. And the facts show it clearly was not a gift.

The statements of the car in your name, the insurance in your name, the existence of the CD, etc. do nothing to negate the fact that this was clearly a loan.

What about when she told us that her grandparents said she no longer had to make anymore payments? And suddenly, after a period of time, they're telling her she has to again. That doesn't make any sense. What would a court say about that?

 

[JETX]

"What would a court say about that?"

My opinion...
Defendant: "Your Honor, I agree that all the evidence shows that this was a loan, and I did make payments, but they later said that I really didn't have to pay anymore".
Court: "Plaintiff, is that true?"
Plaintiff: "No, sir, it is not."
Court: "It is clear by the evidence presented by the Plaintiff, that this was a loan and that the Defendant made payments, further establishing that a loan clearly existed. There is no evidence before this court to show that the repayment was waived. The court finds for the Plaintiff, and orders the Defendant to pay $X,XXX, plus costs. Please call the next case."

 

[Dancequeen19]

They said that they didnt want paid, but instead, give them money on a monthly basis to be put away for later use by me. The money was to come back to me, that was the agreement. I was not paying them back, I was paying myself, they lied to me and took the money for themselves when it was agreed upon that it was MY savings account! They would even show me the bank statements when I came over! It was not a loan, it was never a loan and is not going to become one now.