My dad and his wife want to sue my sister for car payments and unpaid tolls.

[JackM678]

What is the name of your state? South Carolina

I think this is a civil issue, but I'm not sure... Maybe you can help and a mod can re-route this to another sub-section if it isn't.

Okay, so my sister was living in NC with my dad and his wife in SC. My dad co-signed her car loan and put it in his name with his plates registered to him. She has been paying for all of it and now only owes $1300 until it is all paid off. However, when she moved out and took the car with her, my dad canceled her car insurance and she bought insurance in NC, but since the car wasn't registered there, he got fined because the car was being driven uninsured as they said her policy in NC didn't count. Also, she had gone through some of the toll roads and since it was his car, he got the bills mailed to him and didn't pay him, so his license was suspended and he is blaming it on her. They came to where she lived and took the car from her that she was making the payments on, and my dad's wife wants to sue her for the toll bills and for the 1300 dollars to pay the rest of the loan off, when she doesn't even have the car anymore that is not hers, but paid for all of it even though it was my dad's car.

I was thinking my dad's wife really has no case as it wasn't her car, but theirs, and she was just paying for it while they let her drive it, and now that they took it back, she shouldn't be liable to have to pay the rest of it.

However, I thought maybe my sister would be able to go after them in a counter claim saying she paid over 15 grand for that car over multiple years when it wasn't hers, and now they took it away from her, so basically she paid for something that was theirs and they took it away, so she now has no equity in the car (or maybe never really did) so she had to pay for it, but wasn't entitled to have it after she paid.

This isn't really a small case claims as it is a lot of money. Their claim would be small claims because they only want to sue her for $1300 of the upaid balance plus a few hundred in tolls plus penalties.

So, the question is... If your parents own a car, and they are letting you drive it if you pay for it, are they allowed to just take it back and not owe you anything?

 

[Just Blue]

What is the name of your state? South Carolina

I think this is a civil issue, but I'm not sure... Maybe you can help and a mod can re-route this to another sub-section if it isn't.

Okay, so my sister was living in NC with my dad and his wife in SC. My dad co-signed her car loan and put it in his name with his plates registered to him. She has been paying for all of it and now only owes $1300 until it is all paid off. However, when she moved out and took the car with her, my dad canceled her car insurance and she bought insurance in NC, but since the car wasn't registered there, he got fined because the car was being driven uninsured as they said her policy in NC didn't count. Also, she had gone through some of the toll roads and since it was his car, he got the bills mailed to him and didn't pay him, so his license was suspended and he is blaming it on her. They came to where she lived and took the car from her that she was making the payments on, and my dad's wife wants to sue her for the toll bills and for the 1300 dollars to pay the rest of the loan off, when she doesn't even have the car anymore that is not hers, but paid for all of it even though it was my dad's car.

I was thinking my dad's wife really has no case as it wasn't her car, but theirs, and she was just paying for it while they let her drive it, and now that they took it back, she shouldn't be liable to have to pay the rest of it.

However, I thought maybe my sister would be able to go after them in a counter claim saying she paid over 15 grand for that car over multiple years when it wasn't hers, and now they took it away from her, so basically she paid for something that was theirs and they took it away, so she now has no equity in the car (or maybe never really did) so she had to pay for it, but wasn't entitled to have it after she paid.

This isn't really a small case claims as it is a lot of money. Their claim would be small claims because they only want to sue her for $1300 of the upaid balance plus a few hundred in tolls plus penalties.

So, the question is... If your parents own a car, and they are letting you drive it if you pay for it, are they allowed to just take it back and not owe you anything?

Yes.

 

[LdiJ]

What is the name of your state? South Carolina

I think this is a civil issue, but I'm not sure... Maybe you can help and a mod can re-route this to another sub-section if it isn't.

Okay, so my sister was living in NC with my dad and his wife in SC. My dad co-signed her car loan and put it in his name with his plates registered to him. She has been paying for all of it and now only owes $1300 until it is all paid off. However, when she moved out and took the car with her, my dad canceled her car insurance and she bought insurance in NC, but since the car wasn't registered there, he got fined because the car was being driven uninsured as they said her policy in NC didn't count. Also, she had gone through some of the toll roads and since it was his car, he got the bills mailed to him and didn't pay him, so his license was suspended and he is blaming it on her. They came to where she lived and took the car from her that she was making the payments on, and my dad's wife wants to sue her for the toll bills and for the 1300 dollars to pay the rest of the loan off, when she doesn't even have the car anymore that is not hers, but paid for all of it even though it was my dad's car.

I was thinking my dad's wife really has no case as it wasn't her car, but theirs, and she was just paying for it while they let her drive it, and now that they took it back, she shouldn't be liable to have to pay the rest of it.

However, I thought maybe my sister would be able to go after them in a counter claim saying she paid over 15 grand for that car over multiple years when it wasn't hers, and now they took it away from her, so basically she paid for something that was theirs and they took it away, so she now has no equity in the car (or maybe never really did) so she had to pay for it, but wasn't entitled to have it after she paid.

This isn't really a small case claims as it is a lot of money. Their claim would be small claims because they only want to sue her for $1300 of the upaid balance plus a few hundred in tolls plus penalties.

So, the question is... If your parents own a car, and they are letting you drive it if you pay for it, are they allowed to just take it back and not owe you anything?

Legally, yes, she was basically renting the car from them. However, there is the possibility that if she could prove that there was a contract between them that the car would be hers when it was paid off, then that could be a different story.

Morally, I think that they are jerks for doing it. However, your sister is a bit of a jerk too as she knew darn well she was generating tolls and should have sent your dad the money for the tolls, or paid the toll bills.

The insurance issue is basically your dad's fault. He continued to register it in his state, when it wasn't there anymore, so he caused that issue.

 

[quincy]

What is the name of your state? South Carolina
... So, the question is... If your parents own a car, and they are letting you drive it if you pay for it, are they allowed to just take it back and not owe you anything?

I agree with JustBlue. The answer is, yes, your parents owned the car and could take it back at any time.

 

[adjusterjack]

Well, there is no "want to sue." There is only sue or not sue. Until your sister is served with a lawsuit I strongly suggest she sit down with your father and work this out so it stays out of court.

Otherwise, even if Dad doesn't sue, she's lost the car and all the "rent" she paid to use it.

Worse, the father-daughter relationship is broken forever. How utterly tragic that would be.

 

[JackM678]

Well, this is a personal thing and not a legal thing here, but my siblings really hate my dad's wife. She has been nice to me, but she sees me as no threat as I'm in Texas away from everyone else. My dad's wife won't let him have a civil relationship with my mom where they can talk about their kids together and be friends or at least get along. My mom is remarried to someone else and is happy, but my dad's wife is insecure and thinks if she lets him talk to my mom, they will fall in love again and he'll cheat on her. My dad has never been the type to allow someone to control him before now, so I don't get the issue.

The father-daughter relationship has been broken forever for a long time. They haven't spoken in years until my dad's wife told him to go after her and take her car away that she was making payments on and to try to sell it to someone else for money.

Now, my sister can't get to work at her hourly job and she can't drive DoorDash for her supplemental income. She was on my dad's insurance, but he took her off without signing the car over to her or taking it back when he took the car off the insurance, so he got fined because it was being driven without being insured, and since the plates are registered to him, the tolls she accumulated in the northern states were billed to him and he didn't pay them, so his license was suspended.

I was just hoping maybe my sister would have a legal case where she could say she was paying for their car and she wants her money back because they took it when she wasn't in default on the loan. They were both on the loan, but the car was registered to my dad.

 

[adjusterjack]

I was just hoping maybe my sister would have a legal case where she could say she was paying for their car and she wants her money back

I don't think so. The money she's paid for the car was eaten up by the depreciation of the car. If she has any claim to anything it might be for the current market value of the car, not the $15,000 that she's paid in. OTOH, the few thousand that it's worth now would be good for a counterclaim in small claims court.

my sister can't get to work at her hourly job

Then I'd say her priority is to find a way to get to work.

 

[quincy]

Well, this is a personal thing and not a legal thing here, but my siblings really hate my dad's wife. She has been nice to me, but she sees me as no threat as I'm in Texas away from everyone else. My dad's wife won't let him have a civil relationship with my mom where they can talk about their kids together and be friends or at least get along. My mom is remarried to someone else and is happy, but my dad's wife is insecure and thinks if she lets him talk to my mom, they will fall in love again and he'll cheat on her. My dad has never been the type to allow someone to control him before now, so I don't get the issue.

The father-daughter relationship has been broken forever for a long time. They haven't spoken in years until my dad's wife told him to go after her and take her car away that she was making payments on and to try to sell it to someone else for money.

Now, my sister can't get to work at her hourly job and she can't drive DoorDash for her supplemental income. She was on my dad's insurance, but he took her off without signing the car over to her or taking it back when he took the car off the insurance, so he got fined because it was being driven without being insured, and since the plates are registered to him, the tolls she accumulated in the northern states were billed to him and he didn't pay them, so his license was suspended.

I was just hoping maybe my sister would have a legal case where she could say she was paying for their car and she wants her money back because they took it when she wasn't in default on the loan. They were both on the loan, but the car was registered to my dad.

Unfortunately, your sister and dad cannot find in court any remedy for their underlying problem, which is a rift in their relationship with each other. Your dad can only seek relief for the amount he had to pay in toll fees and fines, which legitimately should have been paid by your sister.

Your dad definitely erred in not ensuring that the vehicle was adequately insured. As the vehicle owner, he was responsible for making sure the car was not driven until it and all permitted drivers were properly covered by insurance. All expenses incurred as they relate to car insurance and plate registration should fall on him.

Both your sister and your dad appear to have good reasons for being upset with each other. Stepmom should take several steps back and let your sister and your dad try to resolve their issues with the car without interference.

I personally think that a lawsuit is the wrong way to handle this.

 

[JackM678]

Unfortunately, your sister and dad cannot find in court any remedy for their underlying problem, which is a rift in their relationship with each other. Your dad can only seek relief for the amount he had to pay in toll fees and fines, which legitimately should have been paid by your sister.

Your dad definitely erred in not ensuring that the vehicle was adequately insured. As the vehicle owner, he was responsible for making sure the car was not driven until it and all permitted drivers were properly covered by insurance. All expenses incurred as they relate to car insurance and plate registration should fall on him.

Both your sister and your dad appear to have good reasons for being upset with each other. Stepmom should take several steps back and let your sister and your dad try to resolve their issues with the car without interference.

I personally think that a lawsuit is the wrong way to handle this.

They should. The problem is that my dad has become very whipped in the last couple years, which I don't understand, because that's not like him.

 

[JackM678]

I agree with JustBlue. The answer is, yes, your parents owned the car and could take it back at any time.

Does that change at all if her name was on the car loan with my dad?

 

[Just Blue]

Does that change at all if her name was on the car loan with my dad?

No. The just make her financially obligated for a car she has no ownership interest in.

 

[LdiJ]

No. The just make her financially obligated for a car she has no ownership interest in.

I am not sure that she has no ownership interest in the car. Title and registration may not be exactly the same thing in the state where the car was purchased. I know that car dealers here will typically put everyone who is a party to the financing on the title, even if it doesn't end up registered to all parties.

 

[Bali Hai Again]

It appears the father who co-signed the loan for the daughter was covering his butt by keeping title to the car in case the daughter defaulted on the loan and he was stuck with the payments. The daughter did not default on the loan and owes $1300 (that the father demands she pay) and the father keeps the car?? It also appears the intent that once the loan was paid the car would belong to the daughter, and, morally (although maybe not legally) so.

It would interesting to see how “The People’s Court” ruled on this family feud.

 

[LdiJ]

It appears the father who co-signed the loan for the daughter was covering his butt by keeping title to the car in case the daughter defaulted on the loan and he was stuck with the payments. The daughter did not default on the loan and owes $1300 (that the father demands she pay) and the father keeps the car?? It also appears the intent that once the loan was paid the car would belong to the daughter, and, morally (although maybe not legally) so.

It would interesting to see how “The People’s Court” ruled on this family feud.

That is why I said that morally he is a jerk.

 

[quincy]

Until the vehicle loan is paid in full, the lender will typically be the title holder/owner of the vehicle. The lender’s name will appear on the title along with the car purchaser. If payments are not made as agreed in the loan documents, the lender can repossess the vehicle.

However, even with the car title held by the lender and the lender the legal owner, the dad probably registered the car in his name rather than in sister’s name, and the insurance policy apparently is/was in dad’s name. That would make dad the registered driver and sister a permitted user.

The dad and sister are both responsible for the car loan, since dad co-signed on the loan. But the loan financing does not equal car ownership. Once the car loan is paid off, there will be a release of the lien and application can then be made with the DMV for an updated title.

Car registration can be complicated if there are unpaid vehicle violations, like toll fees and fines.