If You Want to Buy a Car from a Private

question 56

Multiple Choice

If you want to buy a car from a private party (other than a dealer) ,which of the following is false?

• A) If you request a search, and the central registry states that the car is free and clear of liens and encumbrances, then title is clear.
• B) If the seller tells you that the car is free and clear, and two months later a properly registered chattel mortgagee claims a right to the car, you could lose the car.
• C) Even if both the seller and the central registry indicate to you that the car's title is clear, you could still lose it to a third party.
• D) If the seller indicates to you that the title is clear, but after the sale the car is seized by someone with the legal right to do so, you could still sue the seller.
• E) If the seller makes no representations whatsoever about the car, and the car is seized by a creditor, you can still sue the seller because he had an obligation to deliver good title.

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Definitions:

Substandard Care

Substandard care refers to medical or health care that falls below the professionally accepted standards, often leading to harm or injury to patients.

Bankruptcy

A legal process for individuals or entities that cannot repay their outstanding debts, allowing for the restructuring or elimination of debt under the protection of the law.

Involuntary Bankruptcy

A legal process initiated by creditors against a debtor who is unable to pay its debts, forcing the debtor into bankruptcy proceedings.

Chapter 7

A bankruptcy provision that involves the liquidation of a debtor's non-exempt assets to pay off creditors.