Repair exceeds car value. Can I sue for repair cost?

[fremhe]

What is the name of your state? California

A neighbor hit my parked car and left a note. I got two repair estimates -- one from his insurance company -- both around $1200.

The neighbor wants to pay me directly to avoid higher insurance rates, but only for the current value of the car (about $800).

From my standpoint, I just want my car like it was before he damaged it. Buying another car will take time, and may not be as reliable as the one I have. Also, I like my car.

Can I sue in Small Claims Court and get the repair value?

 

[JETX]

Can I sue in Small Claims Court and get the repair value?

You can sue for any amount you want. However, the court will likely only grant you the lower of the repair cost or 'fair market value' of the vehicle.

 

[I AM ALWAYS LIABLE]

What is the name of your state? California

A neighbor hit my parked car and left a note. I got two repair estimates -- one from his insurance company -- both around $1200.

The neighbor wants to pay me directly to avoid higher insurance rates, but only for the current value of the car (about $800).

From my standpoint, I just want my car like it was before he damaged it. Buying another car will take time, and may not be as reliable as the one I have. Also, I like my car.

Can I sue in Small Claims Court and get the repair value?

My response:

Tell your neighbor that you want the repair costs. Either that, or you're going to put the claim through his insurance company to get the "fair market value" of the car, and cause him to suffer higher insurance premiums - - a lot more than the extra $400.00 that he's willing to pay you.

Plus, you want car rental money while your car is being repaired.

He'll pay.

IAAL

 

[fremhe]

Thanks for responses.

I'm primarily interested in the legal issues (vs. how to deal with my neighbor). I.e., what does California law allow in a case like this? Cost to repair or market value? It seems the fair thing is to somehow return my car back to the state it was in before the accident -- including reimbursing me for lost time and expenses in getting the car repaired.

I can understand using market value for something that can no longer be repaired. But my car is clearly repairable.

 

[I AM ALWAYS LIABLE]

Thanks for responses.

I'm primarily interested in the legal issues (vs. how to deal with my neighbor). I.e., what does California law allow in a case like this? Cost to repair or market value? It seems the fair thing is to somehow return my car back to the state it was in before the accident -- including reimbursing me for lost time and expenses in getting the car repaired.

I can understand using market value for something that can no longer be repaired. But my car is clearly repairable.

My response:

Ah, you've hit upon a point of California law that people don't want to understand. The cost to repair your car exceeds it's value. Therefore, your car is termed a "total loss". When repaired, your car must be re-titled as a salvage vehicle.

Now, courts can only award "fair market value" - - not the cost of repair if the repair cost exceeds the present value, despite your opinion of "repairability."

The law requires that you be paid only the fair market value, and the law considers that amount to be enough "to place you back in the same position" as you were prior to the incident; i.e., It should be enough for you to purchase the same vehicle elsewhere.

So, either do as I said prior to this post, or let him pay you the current value of the vehicle, and YOU make the decision whether you want to kick in the extra money yourself to have the vehicle repaired.

IAAL

 

[fremhe]

By chance, does anyone know the section of California law that addresses this kind of issue?

I tried to find it in the "California Civil Code", but couldn't find the relevant section.