Q: Can I recover proceeds from tow yard sale of my car?
Can I recover proceeds from tow yard sale of my car?
In 2014 my house suffered a serious fire and I was injured badly. My vehicle was towed by a company purporting to help me rebuild. My insurance had lapsed and they backed out of assisting me.
I found out that my vehicle was located at a nearby tow facility with an outstanding bill at that time of ~ $3500. (vehicle value was 20k) . I was unable to pay due my medical condition.
I was under the assumption that my vehicle and its value was lost. Recently I found that I may have been entitled to the difference between sale price minus all tow/storage fees.
Is this true? I never received a check for the remainder, and there are no records at the California Unclaimed property division.
Thank you for your feedback!
A: Sorry for your issues. Hope you are feeling better. Hopefully your HOME insurance had not lapsed too? First, the time to bring such a claim has almost assredly expired long ago. Typically, FOUR years with a writing and TWO years without one, is how long you have to sue. Assuming you COULD still bring a claim, understand that the tow guys have a 'legal' racket. The VALUE of your car is what it can get at auction and not some number you pulled off of the net, so not 20K. The Auction is "rigged" to where the winning bidder, usually related to the tow yard, pays around the amount owed on the storage fee(s). THEN they usually sue for the rest owed! IF someone bid more than the amount owed, then yes, you are entitled to the extra funds, but, it is doubtful that this happened and as noted first, not likely a live case anymore...
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A:
Under California law, when a towing company sells a vehicle, you may be entitled to any proceeds remaining after covering towing and storage fees. Since your car was valued at $20,000 and the outstanding bill was around $3,500, there could be a significant amount left after the sale. It's important to verify whether proper notices were sent to you regarding the sale and any potential refunds.
Given that you haven't received any checks and there are no records with the California Unclaimed Property Division, you should first reach out directly to the towing company to inquire about the sale and any remaining funds. Provide them with all relevant details, including the date of the sale and your vehicle information, to facilitate their search.
If the towing company is unresponsive or unable to provide satisfactory information, you may consider filing a claim with the California Department of Consumer Affairs or seeking legal advice to explore your options. Keep in mind that there may be time limits for recovering these funds, so it's advisable to act promptly to maximize your chances of obtaining any owed proceeds.
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