QUESTION
What is the remedy if the lien holder won’t release title so I can register the car?
Asked on Mar 13th, 2016 on Bankruptcy - Colorado
More details to this question:
I filed chapter 13 on November 2015. Plan approved and payments began in December 2015, and I was timely since. The lien holder won’t release the title so I'm unable to register the car. The car was purchased in another state in 2011. I moved in 2012 and filed here.
5 ANSWERS
2 Awards
If you have paid the car off in full then the lender must release the lien. If the lender fails to do so you may sue the lender for failing to release the lien.
Answered on Apr 18th, 2016 at 7:06 AM
What you have not told me is whether the lien on the vehicle has been paid off. Whoever told you that you needed the lien to be released in order to register the vehicle is wrong. You simply need a certificate from the lien holder showing that you are the registered owner. Your bankruptcy will not remove a valid lien from a car. The only way to do that is to pay off the lien holder.
Answered on Apr 18th, 2016 at 7:05 AM
Commercial & Bankruptcy Law Attorney serving Powell, OH
at
Ronald K. Nims
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To register the car, you don't need to be named on the title. You need a document that states you have the right to register it. In Ohio, that's called a "Memorandum of Title", I'm sure that every state (and territory) has something similar. Ask the lender of that document.
Answered on Apr 18th, 2016 at 7:04 AM
Bankruptcy Attorney serving Madison, WI
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Richard B. Jacobson & Associates, LLC
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I see two possibilities. One is to return to the bankruptcy court with a motion to hold the creditor in contempt. Another is to make use of a Wisconsin law which requires a lien holder to release a lien when the under why in debt is paid. If you would benefit by retaining an experienced bankruptcy lawyer to represent you in this last step. If you prevail on a contempt motion, you can sometimes have the creditor pay your own lawyers fee.
Answered on Apr 15th, 2016 at 9:48 AM
I can't decipher the facts from your message here. I wouldn't hazard a guess without more information.
Answered on Apr 15th, 2016 at 9:47 AM