What's family for?

[jgordo52]

Here's a good one for you guys.

I sold my brother a motorcycle when I knew I was going to file for bankruptcy. I sold it to him over the list price, cuz it had a bunch of add ons so a preferred sale or whatever they term it shouldn't apply. I created a bill of sale, signed over the title, and shipped the bike to Texas once money was in hand and paid off the bike. Took the excess from the sale and what I owed and paid on my mortgage which was behind. I am filing for Ch 7, have about 400 left to pay towards the attorney so I will probably be doing it sometime in the next month to month and a half.

I got a call on Saturday that my brother wrecked the bike, possibly totalled. Thank god my brother was wearing gear or it would've been much worse.

Today I get a call from my brother telling me he still had not transferred the title, so technically the bike is still in my name even though I have a bill of sale and the title date from when I signed it was in june. My brother wanted to get it titled today, can't do it without the bike being inspected. Can't get it inspected because it is wrecked. So if they don't total it, can't get inspected until it's fixed (probably at least a month, probably 2). If they total it, I don't know what'll happen. The sale was valid, but am i going to run into problems with my BK due to this? Anyone have any incite on it?

Thanks,

Jeff

[BROKENN]

Does your state do release of liability online? CA does, and it isn't official until the title is transferred by the buyer but it is some documentation. Or, check out non-operational; and they have other titles for junk etc...
Go to your DMV website for your state and look for the different ones.

When you get your lawyer, tell them about the whole thing...

[AngelinaCat]

You do need to tell your lawyer all about this.

[AngelinaCatHub]

Tell it honestly as it happened. You paid the loan off, you paid your lawyer with the balance. I doubt they will even check for vehicles in the database. All is honestly explainable and I wouldn't worry about it. 'Hub

[Flamingo]

Educate yourself on this one. First, was there insurance on the bike and, if so, with you or your brother? Secondly, the Motor Vehicle Divisions in your state or in TX can give you all the information you need. Since you have a bill of sale and the bike was sold and shipped to TX, it then became your brother's responsibility, as the purchaser, to transfer title into his name in his state. You performed all your responsibilities as the seller.

[jgordo52]

Bike is insured by him, been that way since I shipped the bike to TX, so that's not an issue, just was worried about it sitll being titled in my name as of now. I should be filing in about a month.