Difficulty Getting a Lien Released

[itsonlyme]

My husband bought a car with a blown motor to fix for our son from a friend's neighbor who was trying to fix it for his son. When we got it (for $300) he said he got it from a friend who had lost the title and was filing for a lost title. The car was all in pieces. WE KNOW, never buy a car without a title. When trying to get the title the whole story unraveled as follows.

-Car was bought by another party with a lien through Toyota credit.
-Motor blew so she dropped it off at a dealership (they said voluntary repo)
-Car sat on dealerships lot for over a year.
-Dealership called Toyota credit to get it off their lot.
-Toyota credit told them they wrote vehicle off as a loss and for them to get rid of it.
-Dealership gave it to one of their mechanics.
-Mechanic sold it to the neighbor
-We bought it from the neighbor

In trying to get the title we found that Toyota credit has a lien on the vehicle. Dealership says they shouldn't because they wrote it off. Toyota credit says they can only release the lien to the title holder (who no one can find). Technically isn't Toyota credit the title holder now?

We asked Toyota credit if they wanted the vehicle back and they said they don't want it. Now we are stuck with a vehicle that we can't even take to the dump without a title.

Michigan SOS says all Toyota credit has to do is file a repo title. Toyota credit says they won't. Any idea of what to do with this vehicle? We really just want the title as our son has put in a bit of work on it already.

Should we just drop it off somewhere and let them deal with it?

[jk]

Michigan SOS says all Toyota credit has to do is file a repo title. Toyota credit says they won't. Any idea of what to do with this vehicle? We really just want the title as our son has put in a bit of work on it already.

Should we just drop it off somewhere and let them deal with it?

You need to ask the neighbor for your money back. If he fails to do so, you get to sue him to rescind the illegal sale.

I suspect when Toyota said to "get rid of it" they intended it to mean send it to the reclaimer (junk yard), not give it to somebody.

Other than that, I doubt it would be worth the money and effort to try to do anything else.