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NC car repo - pending legal action (HELP)


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I need help finding the specific references in NC statutes to back up our claim that SOL has expired on collecting the deficiency after husband's car was reposessed in 1997.

I have found the statutes that say an auto loan is a written contract and SOL for written contracts is 3 years.

I have HEARD that the written contract distinction doesn't apply here because the contract became null & void after the car was reposessed. I understand that there is some provision at that point that leaves only TWO years to file for a judgement on the deficiency, or else that becomes uncollectible. Is this true? How can I find the statutes? (I have searched & searched) :confused: The only statute I've found that refers to a deficiency (1 year SOL) seems to pertain only to mortgages.

I've been told by the attorney general's office, no less, that the term of six years applies. (They gave me several answers in the course of the conversation, however, and I had the feeling I was speaking to secretaries)

I don't want to find myself in the situation of having to prove which definition applies. If anyone can help me find specific cases similar to mine (auto repo and deficiency) to which I can refer, I would be MOST appreciative!!

Thanks so much for everyone's contribution to this board!!

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Six years ?? Using WHAT statute or code ??

Even at its worst, the NC SOL for a written contract is, as you say 3 years. I believe the UCC is the other you were referring to and the reference you need to determine the SOL is Articles 2 and 9.. which at worst is 4 years.. the SOL has STILL expired in that case.

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I am in A SIMILAR situation...what I have learned is that collectors will try and use the six year SOL that is in the UCC under Article 3. They claim that the retail sales installment agreement is being treated as a promissory note....Article three only refers to an FDIC takeover, allowing a bank up to six years to collect on drafts, unpaid checks, etc...negotionable instruments. I have been told by many people that this not going to work. WE will find out if this works because I am being sued for a repo that is passed the SOL and the attorney representing the bank is stating Article three of the UCC.

On aside note....does anyone know if leaving the country stops the tolling of a SOL????

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<blockquote>Originally posted by MKANDY

On aside note....does anyone know if leaving the country stops the tolling of a SOL????

</blockquote>

That will be a matter of your state law. In many states the SOL is tolled when defendant leaves the State. Several years ago there was litigation (resulting in an opinion by the 9th Circuit) that a California tolling statute of this nature was unconstitutional because it placed unreasonable restraints on interstate commerce. I can't remember if the Supremes took the case or not and thus I don't know whether this is good law. If it is really important to someone, I'll try to find out.

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