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I.D.Barman (CEO)     28 August 2016

Car registration

Car sold to Maruti authorised dealer prior to purchase of new car and letter received on letter head that company will be responsible for all liability after taking delivery of vehicle. In case of accident after Company has taken delivery, and registration still in my name, will I be responsible in any way, criminal and or civil.


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 9 Replies

saravanan s (legal advisor)     28 August 2016

No you wont be held respinsible

arpit shukla (,)     28 August 2016

Off course you will be responsible at first stake till owner does not change in RTO , later it will be a burden of proof on you that you have sold the same , dealer has given you confirmation on his letter pad but in RTO you are the owner. In any offence authority will approach you first.

arpit shukla (,)     28 August 2016

Please share me your mail id, i will send you one judgement of high court where owner held responsible to pay compensation as ownership not changed .

Agastya   29 August 2016

Do you not want to enjoy trouble free life with your new car? Go to your local RTO and ask for car transfer papers set. There are some 5-6 forms. Fill up owners details in all. Go to the dealer and take his signature on every section saying buyer. One form which is needed for actual registration name change can stay blank instead of his name. This is to avoid the car becoming 3rd owner for new buyer (you, dealer, and new buyer). Your dealer letter is in lieu of that. In particular, there is a form which says from so and so time and date buyer is responsible. This is mandatory. Get dealer to sign this form. I don't know it's number. Check with RTO for indemnity release form.

Agastya   29 August 2016

99% you are safe if you take above steps. Dealer is not going to drive around using your car. He wants to recover his money. However if their staff kills anyone on the road you will have to make several trips to police station and courts simply to prove that you have papers relinquishing its ownership. If this happens you need to contact Maruti head office and ask them to take the headache.

KS Johal   29 August 2016

Yes car transfer papers need to be filled in correctly and a copy should be kept for your reference.

KS Johal   29 August 2016

Yes car transfer papers need to be filled in correctly and a copy should be kept for your reference.

KS Johal   29 August 2016

Yes car transfer papers need to be filled in correctly and a copy should be kept for your reference.

Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer)     29 August 2016

A car dealer (new or used) will not transfer the ownership of the car to his own name. He will get the forms signed by the seller and leave the purchaser's name blank. Under the law the insurance also has to be transferred by seller to the buyer. Hence the dealer will also collect the insurance policy from the buyer and get the transfer papers also signed. When the car is transferred to the seller, the insurance also should be transferred . At first the insurance should be transferred. Then only RTO will accept the forms for transfer.

In the event of an accident there are two types of liabilities. One is civil and the other is criminal. The civil liability has to be borne by the insurance company and there should be no time gap without insurance. The criminal liability will be on the driver of the vehicle. It can be on the owner also based on the nature of the liability.

As regards traffic offences the driver is caught on the spot. If he drives away the registered owner will receive notice asking who was the driver of the vehicle.

If you sell the vehicle directly to the buyer get the insurance transferred first. Then go with him to the RTO office hand over all transfer papers and the registration certificate there,  ascertain that the papers are in order and come back. If you sell the car to a dealer or hand over the vehicle to a broker, pray to God that no untoward incident happens and  liability comes on you. If a serious accident takes place the case will first go to the Tribunal and to the higher court if appealed. In any accident case the insurance company will also be a party. The court has to decide the case not only based on law but also based on merits.

There are also careless and negligent people who purchase a car and use it for months without bothering to get it transferred and even without any insurance.


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