Signer / Co - Signer Dispute

[samhain138]

Nebraska -

The signer and co-signer jointly used a vehicle. The co-signer (girlfriend) moved out and went to leave the state to go home with family. Main signer said he refused to allow her to leave the state with the vehicle since he was the main person on the loan. She left the car in the state, told him to go pick it up. He refused, it was voluntarily repossed, she warned him multiple times prior to this occurring, he allowed it. Years later, the auto company was going to garnish wages on both parties and an agreement was set up to pay $100 monthly. The main signer decided to enter into an agreement with the car company to pay $5000 to settle the debt. This was entered into the agreement with only him and the car company. He said he would pay this, but only if she helped. She texted him, she would help in an effort to get him to take care of this. After this was paid, she stated to him, she was the co-signer, he entered into the agreement with the company and would not be paying him. He is threatening to sue for half of the settlement amount he paid since there are texts stating she agreed to pay him. Can he sue her for half the balance of the settlement he agreed to since he only signed that with hte car company?

Appreciate any thoughts.

 

[Zigner]

Nebraska -

The signer and co-signer jointly used a vehicle. The co-signer (girlfriend) moved out and went to leave the state to go home with family. Main signer said he refused to allow her to leave the state with the vehicle since he was the main person on the loan. She left the car in the state, told him to go pick it up. He refused, it was voluntarily repossed, she warned him multiple times prior to this occurring, he allowed it. Years later, the auto company was going to garnish wages on both parties and an agreement was set up to pay $100 monthly. The main signer decided to enter into an agreement with the car company to pay $5000 to settle the debt. This was entered into the agreement with only him and the car company. He said he would pay this, but only if she helped. She texted him, she would help in an effort to get him to take care of this. After this was paid, she stated to him, she was the co-signer, he entered into the agreement with the company and would not be paying him. He is threatening to sue for half of the settlement amount he paid since there are texts stating she agreed to pay him. Can he sue her for half the balance of the settlement he agreed to since he only signed that with hte car company?

Appreciate any thoughts.

Yes.

Please have one of the involved parties log on to ask any further questions, as said party is the one who will actually need to do the legwork on this.

 

[latigo]

Nebraska -

The signer and co-signer jointly used a vehicle. The co-signer (girlfriend) moved out and went to leave the state to go home with family. Main signer said he refused to allow her to leave the state with the vehicle since he was the main person on the loan. She left the car in the state, told him to go pick it up.

He refused, it was voluntarily repossed, she warned him multiple times prior to this occurring, he allowed it. Years later, the auto company was going to garnish wages on both parties and an agreement was set up to pay $100 monthly.

The main signer decided to enter into an agreement with the car company to pay $5000 to settle the debt. This was entered into the agreement with only him and the car company. He said he would pay this, but only if she helped. She texted him, she would help in an effort to get him to take care of this.

After this was paid, she stated to him, she was the co-signer, he entered into the agreement with the company and would not be paying him.

He is threatening to sue for half of the settlement amount he paid since there are texts stating she agreed to pay him. Can he sue her for half the balance of the settlement he agreed to since he only signed that with hte car company?

Appreciate any thoughts.

You ask can "he" sue "her" for half the agreed settlement for which he in fact paid?

The answer is a definite yes.

But let's cease calling one a "main signor" and the other a "co-signor" on the loan. Also "her" liability to "him" for one half of the $5000 does not depend on whether or not she agreed to pay him!

What is significant is that they are co-obligors on the same loan and unless otherwise agreed they are jointly, severally and equally liable for the entire debt.

The law is such that when one co-obligor pays more that his or her share of the debt they are entitled to seek contribution from the other co-obligor(s) for their share of the debt thus paid.

Consequently, he is entitled to a judgment against the girl for half of what he paid the lender as needed to payoff the obligation.