can an insurance company total a vehicle after being sold at auction while new owner holds clear title?

by admin on February 13, 2010



a motorcycle went up for auction..it was bought by someone..few months latter purchessed by me..i put it into my name and recieved a clear title this was march of 06..a week ago i recieve a letter from DOL stating that this vehicle is TOTALLED void title and re-register as rebuild..can this be?is this legal?..

Originally posted 2009-04-14 23:51:19.

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{ 6 comments… read them below or add one }

jimbobb1 April 17, 2009 at 1:23 am

You need a lawyer for this. No, you bought a bike thinking it was good. It is not, you get your money back. They have to tell you that is has a salvage title.

ALvEE April 17, 2009 at 10:55 pm

It would be against the Auction house for selling you a bum bike. Only problem is, most auction house’s make you sign a waiver waiving them of any and all responibility. Depends on what you signed.

cranksinatra April 19, 2009 at 10:03 pm

Wow, great question. You have to go after the seller…. the auction usually is removed from all these problems via waivers. You bought it and registered it as free and clear of any salvage title. Chances are whoever sold it at auction knew about this and in fact, most likely got the settlement cheque for the write-off. Get yourself a Lawyer if you cannot return the bike… most States and Provinces have a clause that allows you to return the vehicle for up to 30 days if it was misrepresented.

Don’t mess with a DJ.

groovyrn34 April 22, 2009 at 4:21 pm

yes it is even if bike was stolen and not wrecked it has to have new vin tag and inspected by state it will have salvage title

Robert R April 24, 2009 at 3:17 pm

1) Yes it’s legal. 2) You have no recourse against either the prior owner or the auction house because you’d have to PROVE that either or both of them knew that the insurance company totaled the bike, which they’d both deny. 3) Registering it as a rebuild could be beneficial to you since you can get a new title, and claim a much lesser value on the bike for property tax purposes. I don’t know which state that you’re in, but aside from being out a few extra bucks, the only thing you’ll have to do is have the bike inspected. Title and registration are 2 different things. Title means that you OWN it, and registration allows you to use it on public roads.

Manav J April 27, 2009 at 10:12 am

You must have a lawyer to hamdle this
OR if you’re in India…..

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