Stripping negative equity of vehicle
Posted: Wed Apr 02, 2008 3:05 pm
In re Johnson (380 B.R. 236) held that negative equity does not
constitute part of the purchase price of a vehicle under Oregon law
but reached that decision because their state statute explicitly says
negative equity is not part of the "cash sale price" of a vehicle.
HOWEVER, California Civil Code Section 2981(e) says "cash price"
includes "payment of a prior credit or lease balance remaining on
property being traded in." Does anyone have a solution to this problem?
Thanks.
The post was migrated from Yahoo.