My mother lives in another state. She is suing me in small claims court for a vehicle she bought for me and some personal loans. I did sign a note saying I would pay her for the car. The personal loans were gifts. Last year, I stopped paying her because she told me that I owe her more than what I do. I don't have proof of the cash payments. She is trying to have me return of property. Is she able to take the vehicle back? I have a 9 year old son and am pregnant with my second child. Please help.
You do not indicate where the suit is pending. If it is filed in another state where you did not live or sign or deliver a note, consult an attorney about challenging personal jurisdiction. Unless there is a written agreement creating a security interest, there is no right to repossess. Whether transactions between family members are loans or gifts is a factual question, and usually a difficult one. Your statements suggest the car debt is a loan and the others are gifts.
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