UNDER THE MICROSCOPE

Usually it’s the car buyers who have to be on the alert, especially with used cars, so they don’t end up with a bad buy. There is so much to watch out for: Cars that were in bad accidents and were poorly repaired, poorly maintained cars in general, bad engine condition, dirty and worn-out interiors or exteriors, and worst of all, stolen cars. 

But now it’s car sellers who have cause to worry. This is the exact opposite of caveat emptor (buyers beware). A car registered in their names but already sold to someone else may be used in the commission of crimes. Or be involved in vehicular accidents or traffic violations, like what I experienced. 
Several years ago, I sold a passenger van to someone and considered the matter closed. But much to my surprise, nay, shock, it came back to haunt me like an evil ghost. 

In March 2022, I received a notice of a traffic violation from the Bataan Traffic Violation Board about said vehicle, for which I was being penalized with a fine. I was neither in Bataan nor in the vehicle which I had already sold, so it was impossible for me to be involved in a traffic accident there. I immediately wrote back that I no longer owned said vehicle at the time of the violation, hence I should not be subjected to the fine. To my relief, the Bataan Traffic Violation Board let go of the matter. 

Then, in June of 2023, I received a letter from the lawyers of an insurance company demanding that I pay the princely sum of ₱95,000 in damages caused to another vehicle involved in an accident in Baguio City. I could not have been involved in an accident there, since I have not been to Baguio City since 2019. None of my currently owned vehicles were in Baguio City at that time as well. The driver of the vehicle for which I was being held liable was listed as residing in Baguio City, and I did not know him from Adam.

This was when I finally realized that I did have a big problem with the sold vehicle, which was apparently still being registered in my name without my knowledge. A lawyer friend told me that under current law, the registered owner of a vehicle is responsible for any accident or crime committed with the vehicle. But how can someone be responsible for an item he or she had sold to another person, complete with a deed of sale? 

The LTO requires that the registration of transfer of ownership should be done within 30 days. But the buyer can still keep registering the vehicle in the previous owner’s name, use it for whatever sinister or heinous purpose, and get away with the crime scot-free. We’ve all read or heard about kidnappings, murders and other evil deeds perpetrated with vehicles that were still registered under previous owners who had sold them. The previous owners are then charged with the crimes and have to engage their lawyers to clear their names at great expense and with frayed nerves, not to mention sleepless nights and stress-induced hypertension.

I wrote the insurance company that I was no longer the owner of the vehicle and attached a copy of the deed of sale. Was that the end of it? Sadly, no. Two months ago, I received another letter, a final demand that I pay for the said car damages, as mentioned in the first letter.

I was still wondering how I could settle this matter once and for all when I read a news article just last month warning vehicle owners to update their change of ownership. This reminder was triggered by a road-rage incident in which a driver was gunned down by a motorist driving a car registered under another person’s name. In another incident, the registered owner of a motorcycle, used in the ambush of no less than the LTO registration division chief, was also charged. 

LTO chief Vigor Mendoza II was supposed to issue a memorandum reiterating the policy of keeping the LTO informed of any change in status of motor vehicle ownership. But who is responsible for informing LTO, the buyer or the seller? What is the process for such a policy? How do we comply with said policy? Who do we report it to? There should be a better way than having to execute an affidavit that you have sold your car. This involves engaging a lawyer and having the document notarized at your expense, like I did.

A plea to LTO: Please make the process as easy and cost-free as possible. Thank you!