Here we go again

Ken · Jul 16, 2004

JohnMH said:

Hey Tom, (It's John - the guy who bought the red 84 QV and traded in the old SL, remember me?). Just read your post. The law gives Remo a number of ways he can protect himself, by creating a lien on the car. The Repair and Storage Lien Act says a possessory lien will exist when FoO did the original work on the car, they may hold the car until paid.

But (excerpt from the Act):

"5. A lien under this Part is discharged and cannot be revived as an interest in the article if possession of the article that is subject to the lien is surrendered to, or lawfully comes into the possession of, the owner or any other person who is entitled to receive a notice under subsection 15(2). 1989, c. 17, s. 5."

So... when Remo gave up the car, he lost his posessory lien, no second chances. He can still have a non-possessory lien under the Act, but he would have to register notice of it under the Personal Property Security Act (which, if the VIN number was checked with a used vehicle information package and nothing came up - he did not do).

So... if he didn't register:

"10. (1) A non-possessory lien is enforceable against third parties only if a claim for lien has been registered, and, where a person acquires a right against an article after a non-possessory lien arises, the right of the person has priority over the non-possessory lien of the lien claimant if a claim for lien was not registered before the person acquired the right."

Your buyer is what they call a bona fide purchaser for value without notce, effectivly he did everything he could do to protect himself at law by searching the VIN number of the car, and Remo did absolutely none of the things he could do to protect himself at law, thus, your buyer should take clear of Remo's claim.

Somebody's lawyer should write a demand letter threatening a suit for the tort of "conversion", essentially wrongfully appropriating someone else's property. Finally, a written complaint sent to the motor vehicle dealer's licencing branch of the Provincial goverment, copied to FoO, might also work wonders. If he really wanted to get mad, the buyer could sue FoO, go on an interim motion and get and order for possession, asking for costs against FoO. Sometimes, the presence of an obvious process server in the middle of your car dealership sales floor will work wonders.
Click to expand...

So, like I said, call the police and report it stolen!

Ken

I.T. Guy · Jul 17, 2004

Wow, am I ever glad I joined this Forum to educate myself before purchase.

Thanks guys,

Jason Polzer in Ontario

bernardo66 · Jul 22, 2004

Hey Tom,

any updates or developpements regarding this matter?

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Here we go again

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