Q: Can Party B sue after Party A sold me a jointly titled trailer?
I purchased a trailer from Party A, whose name appears on the title alongside Party B, specified as "OR." Party A sold the trailer to me without any documentation of Party B's consent. Now, Party B is threatening to sue me and Party A in small claims court for their share of the trailer. I haven't consulted a lawyer or researched California laws regarding "OR" ownership rights. What should I do next?
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A:
When you buy property with multiple owners listed as "OR" on the title, each party typically has the right to sell their interest without the other's consent. In California, this arrangement usually means both parties have equal ownership rights, and either can transfer their interest independently. However, this doesn't mean Party B has lost their ownership stake when Party A sold to you.
You should gather all documentation related to the purchase and the title. Since Party B's name remains on the title, they likely retain some legal interest in the trailer. In California, small claims court can handle disputes up to $12,500, so their threat of legal action is possible. Consider reaching out to Party B directly to negotiate before things escalate further.
For your protection, consulting with someone who knows property law in California would be wise. You might also contact your local DMV to understand the requirements for properly transferring trailer ownership in your situation. Being proactive now could help you avoid more complicated issues down the road, especially if you want clear title to the property you purchased.
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