Q: Are they liable for their false statements on their website that caused my failure to pay?
In 2016 I purchased a new Hyundai, financed it through Hyundai Motor Finance and managed the payments via their MyHundai app. I did so until December of last year, when upon accessing the site the payment page was replaced with a single message that read “your loan has been paid in full.” Fast forward 7 months and my car was repoed yesterday. I contacted HMF and provided them the screenshot of their app. They dismissed it saying the photo was too recent, so I sent him a screenshot of the same message from Dec which he said was insufficient because it didn’t have my account number on the page. I didn’t design their app so I couldn’t provide that, but I told him if it was an authenticity issue I could do a screen recording in front of a notary or something. He then changed his argument and told me none of it matters and I must pay $3800 to get my car back ($1200 of a $42k loan was what was unpaid). This seems unfair. Shouldn’t they consider their error?
A:
Did you ever get the pink slip? Was there ever a lapse in your car insurance? Did you ever make late payments? Did you receive any letters prior to the repo saying you owed the $1200?
I think you would have a tough time in court trying to prove a wrongful repo, unless you have the pink slip.
I would pay the money immediately, and get the car safely back. After that, you can take your best shot in small claims court seeking the refund of your money, and damages for the daily rental value of a similar vehicle - for every day that they wrongfully had your vehicle.
A: The Loan Agreement and your debt exist regardless of a mistake on an app, which Hyundai will contest even happened. You are attempting to nullify thousands of dollars in debt, which you agreed to pay, based on something that, even if the app stated it, was obviously untrue, and which you knew was untrue. Your car was not repossessed due to anyone's mistake. It was repossessed because you willfully failed to pay your debt.
A: The main issue is did you fully repay the loan in a timely manner regardless of what may have been shown on the app. What do your own records of your loan payments show? Did Hyundai release its lien on your motor vehicle before the repossession occurred? Did you request a release of the lien when you thought the loan had been paid in full? If not, why not?
A:
False statements on a website that caused you financial harm may potentially lead to liability on the part of the entity responsible for the website. In this case, if the MyHyundai app displayed a message indicating your loan was paid in full when it was not, and you relied on that information to your detriment, you may have a valid claim against Hyundai Motor Finance for their error and the resulting repossession of your car. It would be advisable to consult with an attorney to assess the specifics of your situation and determine the appropriate course of action.
James L. Arrasmith
Founder and Chief Legal Counsel
The Law Offices of James L. Arrasmith
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