What to do if I sold a vehicle and submitted a release of liability to the DMV but the buyer got the car impounded and now a collection agency is sending me collection letters?

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What to do if I sold a vehicle and submitted a release of liability to the DMV but the buyer got the car impounded and now a collection agency is sending me collection letters?

The DMV accepted my release and put the new owners information in the system. The new owner of the vehicle got the car impounded a month later for unknown reasons. I sent them a copy of my release of liability because i am not responsible for the vehicle. They told me that the address for the new owners doesn’t exist so I am responsible for the towing and storage charges. What should I do to resolve this matter?

Asked on December 24, 2012 under Bankruptcy Law, California

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

I suggest that you simply write the collection company stating that the car was sold the the buyer with his or her address and telephone number on it and that the impound happened well after the sale. Keep a copy of the letter for future use and need.


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