QUESTION
my father passed away while in the middle of a honda car lease. it was in his name only. my mom took the car back to them. do we have to pay balance
Asked on Apr 07th, 2014 on Estate Litigation - New Jersey
More details to this question:
Honda sent us a letter saying the car would be sold and the estate is liable for the balance between the sale price and the remaining balance . this is after they leased my mom a new car and told us we didn't have to pay anything on the old car. both cars were bought at same dealership. if we don't pay anything what can they do. it could only be 2 to 3000 thousand dollars and it would ruin the credit of the deceased only I would imagine
1 ANSWER
2 Awards
Wait and see what value they get for the car. They will sell the car and usually will not try to get back the difference because the cost of doing that is usually more than what they will get back. If they do try to get the cost back, they will try to put a lien against the estate, which will not just affect the credit rating but could affect distribution of assets if there is anything in the estate to distribute. But fist you have to wait to see if there is any notice of deficiency between the cost of the lease and the value obtained at sale.
Answered on Apr 07th, 2014 at 3:12 PM
Diana L. Anderson, Certified Elder Law Attorney This response is not legal advice and does not establish any form of attorney/client relationship