Consumer Blog: Car Dealer Issues

Writs of Sequestration

Saturday, August 29th, 2009

As most people realize, if a person does not timely make payments toward a vehicle loan, the lender will eventually repossess the vehicle.  Most lenders will use a repossession or “recovery” company to find the vehicle and tow it to a secured location.  Repossession companies can be ruthless in their attempts to locate and tow a car, and it is not unusual for employees to pretend to be investigators, police officers, or prosecutors when trying to locate a car.  Repo agents contact friends, neighbors, co-workers, and just about anyone who might put pressure on the consumer not timely making car payments.

When a repo company is unsuccessful in securing the vehicle for a lender, a lender might turn to the courts.  In Texas, a lender might attempt to obtain what is called a “writ of sequestration.”  The writ will usually command persons to turn over the vehicle to an appropriate law enforcement officer.

Last week, our office defended an application by Trophy Nissan to obtain a writ of sequestration.  We represent consumers in a dispute with the dealership.  Out clients did not engage in any conduct which usually leads to a request for such a writ.  Trophy Nissan apparently decided for some other reason to attempt to obtain a writ.  The court denied Trophy Nissan’s application.  Here is a copy of the court’s order -