Atlanta, GA asked in Municipal Law for Georgia

Q: Can an impound yard sell a vehicle that has a lien on it

Can an impound lot sell a vehicle without running it through the courts

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James L. Arrasmith
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Answered

A: An impound yard typically cannot sell a vehicle with a lien on it without following specific legal procedures. The impound yard must notify the lienholder of the vehicle's status and give them an opportunity to claim it. This process ensures that the rights of the lienholder are respected.

If the vehicle is not claimed within a certain period, the impound yard may proceed with selling the vehicle. However, the proceeds from the sale must first satisfy the lienholder's claim before any remaining funds can be used to cover storage fees or other expenses. This process often requires proper documentation and adherence to state laws governing vehicle impoundment and sales.

To sell a vehicle legally, the impound yard may need to go through the courts, especially if the lienholder disputes the sale or if there are complications regarding ownership. It's crucial for the impound yard to follow all legal requirements to avoid potential legal issues and ensure that the sale is valid and enforceable. If you are dealing with an impounded vehicle with a lien, consulting with a legal professional can provide guidance on your specific situation.

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