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COA upholds judgment in auction of towed car

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The Indiana Court of Appeals affirmed summary judgment in favor of a father and daughter whose car was towed and later sold at auction, finding the towing company didn’t comply with the 15-day waiting period after placing notice in the newspaper before selling the car.

In Rick Gillespie, Dawn Gillespie and Rick's Towing and Maintenance, LLC v. Frank B. Niles and Kathryn Niles, No. 49A05-1102-CT-70, Rick and Dawn Gillespie’s company, Rick’s Towing and Maintenance, towed Kathryn Niles’ vehicle in December 2008. The car was still titled and registered to Kathryn’s father, Frank. Rick’s Towing sent notices to Frank, who lived at the same address as Kathryn, saying the Chevy Tahoe would be sold at public auction on Jan. 21, 2009, if it wasn’t claimed. On Jan. 6, the towing company contacted the Indianapolis Star about publishing notice of the sale, which ran Jan. 8. The vehicle was sold, and five days later the Nileses attempted to claim the car.

The Nileses sued for conversion, saying the Gillespies didn’t comply with the law regarding notice before selling a car at auction. The Gillespies filed a motion for summary judgment; the Nileses filed a cross-motion for summary judgment. The trial court ruled in favor of the Nileses and granted a judgment against the Gillespies instead of Rick’s Towing. The Nileses won $22,000 plus interest.

The Court of Appeals affirmed judgment for the Nileses, finding the defendants didn’t comply with the statutory requirements under Indiana Code 9-22-5-15 to enforce their lien by selling the Tahoe at auction. The statute dictates that the car couldn’t be sold before 15 days “after the date the advertisement required by subsection (d) has been placed or after notice required by subsection (e) has been sent, whichever is later.”

The Gillespies argued that they complied with the statute because they placed the ad with the newspaper 15 days before the sale by contacting the Indianapolis Star and it wasn’t their fault it didn’t run until two days later.

“The only reasonable interpretation of ‘placed’ in this context is that the advertisement had to be published at least fifteen days before the sale,” wrote Judge Michael Barnes. “The Defendants failed to wait the required fifteen days before selling the vehicle at the auction. As a result, the Defendants failed to meet the statutory requirements to auction the vehicle.”

The trial court did err by granting summary judgment against the Gillespies personally rather than against Rick’s Towing only. The Gillespies’ actions were performed as employees of the company and don’t demonstrate a basis for piercing the corporate veil, the appellate court held.


 

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  1. A traditional parade of attorneys? Really Evansville? Y'all need to get out more. When is the traditional parade of notaries? Nurses? Sanitation workers? Pole dancers? I gotta wonder, do throngs of admiring citizens gather to laud these marching servants of the constitution? "Show us your billing records!!!" Hoping some video gets posted. Ours is not a narcissistic profession by any chance, is it? Nah .....

  2. My previous comment not an aside at court. I agree with smith. Good call. Just thought posting here a bit on the if it bleeds it leads side. Most attorneys need to think of last lines of story above.

  3. Hello everyone I'm Gina and I'm here for the exact same thing you are. I have the wonderful joy of waking up every morning to my heart being pulled out and sheer terror of what DCS is going to Throw at me and my family today.Let me start from the !bebeginning.My daughter lost all rights to her 3beautiful children due to Severe mental issues she no longer lives in our state and has cut all ties.DCS led her to belive that once she done signed over her right the babies would be with their family. We have faught screamed begged and anything else we could possibly due I hired a lawyer five grand down the drain.You know all I want is my babies home.I've done everything they have even asked me to do.Now their saying I can't see my grandchildren cause I'M on a prescription for paipain.I have a very rare blood disease it causes cellulitis a form of blood poisoning to stay dormant in my tissues and nervous system it also causes a ,blood clotting disorder.even with the two blood thinners I'm on I still Continue to develop them them also.DCS knows about my illness and still they refuse to let me see my grandchildren. I Love and miss them so much Please can anyone help Us my grandchildren and I they should be worrying about what toy there going to play with but instead there worrying about if there ever coming home again.THANK YOU DCS FOR ALL YOU'VE DONE. ( And if anyone at all has any ideals or knows who can help. Please contact (765)960~5096.only serious callers

  4. He must be a Rethuglican, for if from the other side of the aisle such acts would be merely personal and thus not something that attaches to his professional life. AND ... gotta love this ... oh, and on top of talking dirty on the phone, he also, as an aside, guess we should mention, might be important, not sure, but .... "In addition to these allegations, Keaton was accused of failing to file an appeal after he collected advance payment from a client seeking to challenge a ruling that the client repay benefits because of unreported income." rimshot

  5. I am not a fan of some of the 8.4 discipline we have seen for private conduct-- but this was so egregious and abusive and had so many points of bad conduct relates to the law and the lawyer's status as a lawyer that it is clearly a proper and just disbarment. A truly despicable account of bad acts showing unfit character to practice law. I applaud the outcome.

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