Downpayment on a new Car?

[NegPerSe]

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

My son was the driver and was in a car accident (my son's fault), so I am being sued in SMALL CLAIMS COURT because I am the registered owner. The other side's vehicle was declared a total loss. He is suing me for $5,000 ($500 for his deductible and $4,500 for a downpayment on a new car). I do not have an attorney and one cannot represent me as it is a Small Claims matter. I spoke with my insurance company and they said that they are now pending the plaintiff's subro demand as the plaintiff went through his own insurance carrier.

My question is 2 fold:
1) what does "...now pending the plaintiff's subro demand as the plaintiff went through his own insurance carrier." mean? My insurance tried to explain it to me but it just went over my head.

2) Can the Plaintiff sue for a new downpayment for a car? I have no idea what kind of car he is going to get (or got for that matter). I was under the impression that he couldn't since he went through his insurance already.

Please help, and I apologize for the long thread, but I am scared as heck!

 

[racer72]

1. Your insurance company is negotiating a settlement with the other insurance company. It is call subrogation.

2. Not likely. You are under no obligation to assist with the purchase of another vehicle. Less the $500 deductible, the person was made whole when he accepted the settlement from his insurance company. Don't worry about, let your insurance company handle it. That is what you pay them to do.

 

[Zigner]

Nope - the plaintiff will only get his out of pocket expenses. He has (presumably) already received a settlement from his insurance company.
It *might* go down that he receives the value of his car in the lawsuit and is then required to reimburse his insurance company. If his car was worth $3,000 (as an example), then that's the max you'll pay.

 

[ecmst12]

You do not have to pay ANYTHING out of your pocket. Your insurance company will include his deductible when they reimburse HIS insurance company. Your insurance company should provide you with a legal advisor who can instruct you on how to defend yourself against this baseless suit. You are NOT liable for a down payment for a new car (if you were, your insurance would have paid it), but you can't ignore the suit, you must appear in court and defend yourself.

 

[NegPerSe]

Update with a Thanks

Fisrt and for most I want to thank you guys for the quick and diligent responses you guys have given for my matter.

Quick update, I spoke with my insurance company, they said they have assigned my file to a legal advisor to help me. I spoke with that advisor and he stated that he was familiar with the courthouse and he will be there with me but he will not be able to speak on my behalf. He stated that the Plaintiff's insurance carrier has "already paid the plaintiff off for the total loss and it seems that the Plaintiff is going after me to just get more money." He said one of the evidences that he will be providing me with was a statement from the Plaintiff's insurance company that they have given the Plaintiff a check for the amount of the total loss.

Do you think that 1 single evidence showing the Plaintiff was given a check already for his total loss is enough to get a judgment in my favor. I do not want any judggment to affect my credit.

Again, many thanks.

 

[ecmst12]

There will be no judgement and he will have to pay the court costs. He is not entitled to anything more then he has received from his/your insurance companies. All you need to show is that the value of the car was paid for. He doesn't get money for a new car, as that is not part of the claim.

 

[Zigner]

There will be no judgement and he will have to pay the court costs. He is not entitled to anything more then he has received from his/your insurance companies. All you need to show is that the value of the car was paid for. He doesn't get money for a new car, as that is not part of the claim.

That's not entirely true.
IF he sues and recovers, then he will be required to reimburse his insurance company.
Alternatively, the INSURANCE COMPANY can sue and recover the money they paid (including the deductible). You are assuming that our OP's insurance company will pay in a timely manner, thus avoiding a suit.

 

[ecmst12]

He is suing for something that is outside the scope of what his insurance covers, or ANYONE'S insurance would cover. The plaintiff's insurance company will not sue, OP's insurance company has already agreed to pay and are just waiting for the subro demand now. This can take some time with a total loss because they have to wait for the salvage to sell to make the final demand.

 

[Zigner]

He is suing for something that is outside the scope of what his insurance covers, or ANYONE'S insurance would cover. The plaintiff's insurance company will not sue, OP's insurance company has already agreed to pay and are just waiting for the subro demand now. This can take some time with a total loss because they have to wait for the salvage to sell to make the final demand.

I agree that the plaintiff cannot get the money he is seeking based on needing it for the down payment on a new vehicle. Plaintiff CAN sue for the damage to his vehicle. He will not be entitled to anything beyond the fair market value. If he is successful, then he will be required to reimburse HIS insurance company for the money the paid out.
Also, the Plaintiff CAN sue for (and WILL get) the $500 deductible.

 

[ecmst12]

He's already assigned his right to sue to his insurance company, he actually CAN'T sue. He's been made whole. And as far as his deductible goes, one of the two insurance companies could send it to him now if he asked. I'm not entirely sure he has standing to sue on that either since it's been made clear he WILL be reimbursed for it.

 

[NegPerSe]

other than the statement from the Plaintiff's insurance company that they have given the Plaintiff a check for the amount of the total loss, what other evidence is good to have with me to show to the court?

 

[ecmst12]

Talk to your legal advisor.