Full question:
My son was involved in an accident with my truck last year and the insurance company is coming after him and me for the amount they paid their client ($9,000). My son agrees he was responsible for paying this debt and is willing to sign a legal form taking responsibility for this. Is this legal and will this lift the 'suspension of registration' from me? I did not grant permission for his use of my vehicle at the time and did not find out until afterward what happened. What legal recourse do I have in this matter? I am not working and cannot nor do I want to take on this debt because it is not mine.
- Category: Automobiles
- Subcategory: Insurance
- Date:
- State: Wisconsin
Answer:
The answer depends on several factors, including your son’s age, the accident's location, and the reason for your registration suspension. If your son is a minor, you may be liable for damages caused by his actions due to your parental relationship. Generally, insurers can seek compensation from responsible parties for amounts they paid out in claims.
Subrogation is when an insurer pays a claim and then seeks reimbursement from the party responsible for the loss. In this case, the insurer is the subrogee, and your son is the subrogor. In many states, parents can be held liable for their child's negligent driving if they allowed their child to use the family vehicle. Permission may be implied if the child has previously driven the car with consent. If the car was stolen, you would need to report it to the police.
Legal theories that may apply include:
- Negligent entrustment: If you knowingly allow a minor child to drive your car despite their inexperience or recklessness, you could be liable for damages.
- Family purpose doctrine: In some states, if you maintain a car for family use, you may be liable for any negligent driving by family members.
- Signing a minor's driver's license application: In some states, signing this application may make you liable for the minor's negligent driving.
Typically, registration is suspended for not complying with traffic laws, such as unpaid fines or lack of insurance. Paying the insurance claim will not reinstate your registration; only paying the fines or obtaining insurance will.
This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.