Can I bring someone to small claims court if they sold me a vehicle under falso pretenses and without the right to sell in the first place?

I was sold a car from a close friend who falsely informed me of the actual status of the vehicle in question. When I purchased it we signed a home made "bill of sale receipt" and I was that I would get the title in a week or two because he had to file a "loss of interest" application through DOL before I could get the title. Now it's been a year, been pulled over twice because of expired tabs. every contace made with the seller he's said "i will get right on it, sorry it's taking so long'. And then my friend decides to borrow my car and gets in a head on collision resulting in my car being totaled. now not only can I no longer get a hold of the person I purchased from, but I am unable to retrieve any of my personal belongings out of car that's in impound now without a notarized permission from registered owner and insurance company wont pay me for the loss or damages, and instead would pay the person who's on registration. I have a 2 year old who I nee transportation for. what can I do