is it a feloney to sale a car with a lein on the title?

UPDATED: Oct 6, 2011

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is it a feloney to sale a car with a lein on the title?

I bought a car from a small car lot and it broke down on me before I made my first payment. The car lot told me it was a felony to sale anything that has a lien on it.

Asked on October 6, 2011 under Criminal Law, Arkansas


FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

It is not a felony per se to sell a car with a lien on it if before the sale, the buyer is advised by the seller that there is in fact a lien regarding it. For example, many times people sell cars back to a dealership that they have a loan on the vehicle that they are paying off.

However, if the seller fails to disclose that there is a lien on the vehicle to the buyer, the buyer could have a civil action against the seller for the non-disclosure. Additionally, law enforcement depending upon the circumstances may file a criminal charge for possible fraud as well.

Good luck

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