1-281-DIVORCE (348-6723)

How to Stop Repossession of Car Houston Texas

attorney houston tx

How to Stop Repossession of Car Houston Texas

How to Stop Repossession of Car Houston Texas? There are several ways to do this.  The first questions must be asked why is the creditor taking your car?  It is because you did not pay the note or do not have insurance.  This the is typically reason.  The obvious way to get the car back is to pay the payments or get insurance.  I am a bankruptcy attorney in Houston, Texas and I can tell you How to Stop Repossession of Car Houston Texas.  By filing bankruptcy, you get the benefit of the automatic stay.  This allows you a shield from the creditor collection efforts.  If the care has already been repossessed, then you have a 10 day window to get the car back.  The rules for state law say they must hold it for 10 days then they can sell it.  This is the rule but rules are not always followed.  If it is more than 10 days but they still have the car, then you can still get it back  below is my demand  letter I send out after the nice call requesting that the car be returned.  I can get pretty much any vehicle returned provided you quality and have insurance.  This includes, cars, trucks, 18 wheelers, 4 wheelers,  commercial vehicles ect.



 This communication is being sent to you because it is our understanding that you repossessed the our clients  vehicle. Please be advised that  our client filed for chapter 13 bankruptcy protection on . As a result of the bankruptcy filing, that vehicle and her/his/their right of redemption are now property of the bankruptcy estate. See United States v. Whiting Pools, Inc., 462 U.S. 198, 203 (1983).   

We previously faxed Notice of the Debtor(s)’ Bankruptcy filing to you. We demanded that that you immediately return the vehicle, but you refused to do so even though you acknowledged receipt of the Notice. You are receiving this FINAL DEMAND letter because by holding on to the vehicle and refusing to return it, you are exercising control over it and are in violation of § 362(a)(3) Automatic Stay and may be subject to sanctions by the United States Bankruptcy Court.

Whether or not an asset is property of the estate is a legal determination which frequently entails complex analysis involving a number of legal elements and a variety of facts. See In re Chestnut, 422 F.3d 298, 303 (5th Circuit. 2005). It does not matter whether the repossession was lawful or not or whether the repossession occurred prior to the bankruptcy filing. The ultimate result is the same – the bankruptcy estate is deprived of possession of that property and violates the Automatic Stay. See In re Yates, 332 B.R. 1, 5 (BAP 10th Cir. 2005). You are required to return the vehicle to the Debtor(s).

You have 48 hours from receipt of this letter to return the vehicle. 

Additionally, you are now a creditor in the bankruptcy case. This means, if you wish to take ANY actions against the Debtor(s) or the Debtor(s)’ property, you must have permission of the Court. Without Court permission, you may be violating the § 362(a) Automatic stay and  may be subject to sanctions by the Court for refusing to return the vehicle to the Debtor(s).

 If the vehicle is not returned, we will have no choice but to bring a Turnover action against you in the Bankruptcy Court. This action may further subject you to paying any costs and attorney fees for bringing this action.

 As the 7th Circuit Court has explained, once a Bankruptcy Debtor requests the vehicle be returned, the creditor must first return the asset to his bankruptcy estate and then, if necessary, seek adequate protection of its interests in the Bankruptcy Court. (See Thompson v. GMAC, LLC., No. 08-2077,  US Court of Appeals for the Seventh Circuit, May 27, 2009, pps. 18-19). We have requested to speak to your attorney, but you have not provided us this information or have told us that you do not have one. If you do not understand your rights and responsibilities as a creditor in this bankruptcy case, we highly recommend that you hire counsel to explain this to you and to represent you.

 The Debtors may have important and valuable property in the car. If requested, you need to make this property available to them to pick up. Failure to do so may further your liability to the level of theft or conversion.

 Finally, state law requires the vehicle may not be sold for at least 10 days following repossession. You must also provide the Ten-Day Notice Letter to the Debtor(s) advising them of their rights under Texas law. It is our understanding that you are attempting to sell the vehicle inside the 10 day window and/or have not provided the 10-day notice. This violates the Texas statutes and if a pattern of conduct is established showing a routine authorized by your company, further legal action may be taken on behalf of the consumers that have had similar situations or circumstances with your company in the past. Also, a referral to the Attorney General of Texas will likely follow should you fail to provide the 10-day letter and/or return the vehicle.

Our toll-free telephone number is at 1-866-912-9832. You need to learn about all of your options including information about credit, debt, bill consolidation services and federal bankruptcy law.  Please call us at 1-866-912-9832 so that we can discuss your case. You can also visit our web sitewww.busby-lee.com. Our attorney fees are reasonable, competitive, and court- approved.   It is important that you call us soon. Our office is conveniently located near the Galleria and Highway 59 on Hillcroft between Richmond and Westheimer. Call us toll-free at 1-866-912-9832 for directions to our office.

We provide bankruptcy services in the greater Houston metro area including the cities of Katy, Sugarland, Pearland, Friendswood, Clear Lake, Bellaire, Bunker Hill, Deer Park, Denver Harbor, Galena Park, Cypress, Jacinto City, Jersey City, La Porte, Missouri City, Pearland, Sea Brook, Stafford, Alief  and Galveston. We also handle cases from The Woodlands, Spring and Tomball and cases in Baytown and Channelview.

We handle bankruptcy cases in all of these counties: Brazoria, Chambers, Galveston, Matagorda, Austin, Brazos, Colorado, Fayette, Fort Bend, Grimes, Harris, Madison, Montgomery, San Jacinto, Walker, Waller, Wharton


Share this post

Related Posts

Michael Busby is a Houston divorce lawyer who has been in practice for over 20 years and appears daily in the Family Law Courts of Harris County and Fort Bend County Texas

Busby & Associates , have two Houston Offices, one in Chinatown, Houston Texas and another in Independent Heights, Houston, Texas. Michael Busby is Board Certified in Family law by the Texas Board of Legal Specialization.