I received four calls today from dealers involving Nextgear Capital. All of the dealers felt Nextgear treated them unfairly. Two of them wondered if I was planning a class action against Nextgear. The answer is no. Nextgear writes very tough, tight contracts. Some things that dealers think are unfair are allowed buy the contract. In my opinion, Nextgear is run by smart people, and they have smart, competent attorneys. You have to bring your "A" game if you are litigating against them. If you are professional, they will be professional. If you are reasonable. They will be reasonable. I have not identified any systematic conduct by Nexgear that would justify suing them on a group or class action basis offensively. Right now, I am just defending dealers as they are sued in Indiana. If you have a beef with Nextgear, tell your story online. You cannot be successfully sued for defamation for making true statements of fact or stating your clearly articulated opinion. If a pattern emerges of conduct that would give rise to a legal case, it may become clear through the stories of many dealers. If it is juicy enough, a large law firm will probably pick it up and run with it.
There are actually two areas that I am looking at with floorplan lenders in general. The first involves the relationship between floorplanners and the auto auctions under shared ownership. IF there is "tying" involved between one business and the other, then in certain circumstances, if there is sufficient market power involved, antitrust law could be implicated. If this sounds vague, that's because it is. It would cost a lot of money to develop this theory in any case where it might apply.
The second theory involves cases where a floorplan lender does not release the title to a vehicle that the dealer has sold in the ordinary course of business. It appears to me that under Uniform Commercial Code 9-320 and 2-403, the dealer has the power to transfer the car to an ordinary buyer free and clear of the security interest of the floorplanner in almost every case. The question then becomes who has the ability to sue the floorplanner when the floorplanner refuses to release the title? the dealer? the buyer? both? When titles are wrongfully withheld, how does that implicate damages?
They are holding a TITLE of a car i paid for and SOLD. Unreal what they can get away with.
ReplyDeleteI suggest building up a paper trail relating to the car that they are holding the title on. It may come in handy later.
ReplyDeletenextgear capital, in my opinion are sneaky, egregious, horrible people. Buyer beware!!
ReplyDeleteI have a case which meet all your requirements. Contact me 323 974 2218
ReplyDeleteI have a case which meet all your requirements. Contact me 323 974 2218
ReplyDeleteIf next year releases titles to someone not on the account are they liable
ReplyDeleteMy so called business partner sold units and didn't give me any of the funds and sold 1 unit to his brother n law for no profit when I was offered $14000 more and my so called business partner insisted $20000 was way to low and he sold it for $6000 and several other units he sold and nextgear sent him titles on other units he sold and kept all proceeds is that embezzlement
ReplyDeleteMy business was in NJ. The business inventory repossessed by NextGear Capital 2 days before due day as indicated in in Title Release letter and Contract without any reasons.
ReplyDeleteIs anybody had the same situation?
Is anybody know successful lawyer against NextGear Capital in NJ? Please call (732) 698-0198
I too have a Nextgear case. I will follow up this week with you.
ReplyDeleteNextgear repossessed all of my units in 2017 took almost 2 yrs to sell them and did not put surplus of 2 vehicles toward the balance that they sued me for. They started sueing me before they even sold all the units at auction.Is that legal I thought surplus of collateral has to be put toward the balance of any loan? Do I have any rights?
ReplyDeleteThanks Paul
They have my account locked even though my account is in good standing, meaning i cant request titles for cars ive sold. I have a case that meets your requirements plesae call me 3236367546
ReplyDeleteNextgear repossessed 93 vehicles from us when president Trump closed the country Idaho just shut down and Washington . They used our vehicles to tow some of out units away crossed state lines and weren’t concerned with the country being closed . We had 98000 dollars in our reserve account with 93000 dollars oueing on our audit . Five days later they used our reserve monies to pay the audit . Several days later we received 102000 from the stimulus thanks to Donald Trump . Our other flooring company’s pulled their lines due to nextgear . We have an opertinity to loose everything that we have worked for the last 46 years . Any advice would be helpful . Thank you in advance Dale 208-660-4659
ReplyDeleteWhen they took your vehicles was it reported to your personal credit file?
DeleteWhen they took your vehicles was it reported to your personal credit file?
Delete