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Dealership did not abide by contract terms, COA rules

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Citing the terms spelled out in the contract, the Indiana Court of Appeals has ruled that a car dealer that entrusted a buyer with mailing a title to the lender will have to pay the balance of the auto loan.

Cruisin’ Auto Sales contracted with Springleaf Financial Services of Indiana Inc. to finance a car purchased by Cruisin’s customer, Jennifer George. Springleaf specified in the contract that Cruisin’ was to list the financial company as the first and only lienholder on the title, then mail the document to Springleaf.

The car dealer listed Springleaf as the lienholder but gave the title to George under the assumption she would mail it to the lender after registering the vehicle with the Indiana Bureau of Motor Vehicles.

On appeal, Cruisin’ argued it fulfilled its contractual duty by endorsing the check and naming Springleaf on the title as the lien holder. George failed to perfect Springleaf’s lien because she did not register the title with the BMV.

Moreover, Cruisin’ maintained Springleaf should have included language in the contract if it wanted the car dealer to register the title with the BMV.

The Court of Appeals disagreed and affirmed the trial court’s judgment in Cruisin’, Inc., d/b/a Cruisin’ Auto Sales v. Springleaf Financial Services of Indiana, Inc., f/k/a American General Financial Services, 39A01-1309-CC-423.

It held that when Cruisin’ endorsed and negotiated the check, it accepted the terms of the simple contract which included the auto dealer must mail the title to the “payor.”

“Here, Springleaf is the payor and both George and Cruisin’ are payees on the Check,” Judge Elaine Brown wrote for the court. “Thus Cruisin’ agreed when it endorsed and negotiated the Check that it would mail the title to Srpingleaf, and, pursuant to the Letter accompanying the Check, list Springleaf as the lienholder on the title. Cruisin’ did not mail the title to Springleaf – it handed the title to George, who did not file the title with the BMV and subsequently stopped paying on the Loan Agreement. This conduct by Cruisin’ was a breach of its contract under the Endorsement.”

The Court of Appeals did remand for the trial court to correct a scrivener’s error and enter a judgment for $2,659.02 or explain why $2,779.02 is the right amount. Also, the court remanded for the trial court to enter the judgment damage award against both Cruisin’ and George jointly and severally.


 
 

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  1. Im very happy for you, getting ready to go down that dirt road myself, and im praying for the same outcome, because it IS sometimes in the childs best interest to have visitation with grandparents. Thanks for sharing, needed to hear some positive posts for once.

  2. Been there 4 months with 1 paycheck what can i do

  3. our hoa has not communicated any thing that takes place in their "executive meetings" not executive session. They make decisions in these meetings, do not have an agenda, do not notify association memebers and do not keep general meetings minutes. They do not communicate info of any kind to the member, except annual meeting, nobody attends or votes because they think the board is self serving. They keep a deposit fee from club house rental for inspection after someone uses it, there is no inspection I know becausee I rented it, they did not disclose to members that board memebers would be keeping this money, I know it is only 10 dollars but still it is not their money, they hire from within the board for paid positions, no advertising and no request for bids from anyone else, I atteended last annual meeting, went into executive session to elect officers in that session the president brought up the motion to give the secretary a raise of course they all agreed they hired her in, then the minutes stated that a diffeerent board member motioned to give this raise. This board is very clickish and has done things anyway they pleased for over 5 years, what recourse to members have to make changes in the boards conduct

  4. Where may I find an attorney working Pro Bono? Many issues with divorce, my Disability, distribution of IRA's, property, money's and pressured into agreement by my attorney. Leaving me far less than 5% of all after 15 years of marriage. No money to appeal, disabled living on disability income. Attorney's decision brought forward to judge, no evidence ever to finalize divorce. Just 2 weeks ago. Please help.

  5. For the record no one could answer the equal protection / substantive due process challenge I issued in the first post below. The lawless and accountable only to power bureaucrats never did either. All who interface with the Indiana law examiners or JLAP be warned.

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