QuestionMy boyfriend's ex-wife is in possession of a car that he continues to make the payments on. For registration purposes, her name is on the loan as a joint responsible party. She recently got a new vehicle in her own name, and she is stating that she is going to sell the other car. We are afraid that she will disregard the fact that there is a lien on the car and that $4100.00 is still owed on the loan, and she will sell it and take all of the money, leaving him with the remainder of the loan to be satisfied, and without the car. What kind of recourse is there if she does this? What can we do to make sure this doesn't happen?
AnswerThanks for your question. This sounds like a bit of a sticky situation, but let’s take a look at what we’ve got.
First, let me tell you that state laws vary widely, and that you need to verify this information with the specific laws of the state where this vehicle is titled.
Generally speaking, if the vehicle is jointly registered to two individuals, both of them will have to sign the title before it can be released and sold. In this case, your boyfriend’s ex-wife will not be ‘legally’ able to sell it without his signature.
Also, it’s somewhat typical that joint registration usually implies joint loan ownership: if his ex-wife’s name is a part of the existing loan, she can’t sell it without his approval and signature. You stated that he is making the payments, but not if she was a signatory on the loan.
So, if the ex- is on the loan or not, the bottom line is that she cannot sell the vehicle without your boyfriend’s release on the registration, which again I state you have to confirm with the particular laws of your state.
I hope this information helps.
Regards,
Ron
