My granddaughter got in an accident and the car was uninsured. She is 19 and being sued for $13,000. Should she claim bankruptcy

If your granddaughter was driving her father's car and the car was insured, she was insured, provided she had permission to drive the car. Her father should file a claim with his carrier. It is unclear why your granddaughter's license is suspended. Perhaps your daughter should speak to an attorney to discuss the details of her case.

Present the claim to her fathers insurance company to see if they will cover her. If she was a permissive driver then it's possible she is covered and they will provide her with both an attorney and pay any judgement. If there is a policy exclusion that excludes her from coverage then she will want to consult an attorney before filing anything. Bankruptcy may not be a great option if she is a student and is relying on student loans. I have defensed a number of uninsured individuals in cases like this - there are options. Consult an attorney ASAP. She should not just allow it to go to judgment against her or agree to a payment plan without first talking with an experienced attorney.

If it's already reduced to judgment, it may be too late, but what she should've done was report it to his insurance immediately, and it would have been covered. Best bet is meet with a lawyer to evaluate options, which may include vacating the judgment or bankruptcy.

In Texas there is a thing called vicarious liability that protects the damaged driver from an uninsured motorist by way of the owner of the cars insurance. In other words the insurance follows the car. It may not be that way in your town. As for the minor in possession you have two issues what was she in possession of? And did her being in possession of a substance that was illegal cause her to have the accident. If there was no bodily injury then you do not need a PI lawyer. And if she was cited for minor in possession you may be well advised to get a criminal lawyer. As for should your 18 year old granddaughter file bankruptcy? We suggest you do not go down that path. It would damage her credit history from the very beginning. In Texas a bankruptcy stays on your credit for many years. Do not start her young life out with a bankruptcy. If there is a $13,000 judgment against her, if her dads insurance will not cover the judgement look to a mediation to have the $13,000 reduced and then pay it. If she wrecks someone's car she was not covered by insurance and did damage she owes a debt to make the other person whole. .... that simple.

Assuming her dad had insurance, she is insured under that policy unless she is specifically excluded. Make sure this incident has been reported to her dad's insurance company. Her lack of a license has no bearing on liability or coverage. As long as she was operating the vehicle with her dad's consent, she should be covered, unless she is specifically excluded as a driver under the terms of the insurance contract. Legal Disclaimer: Mr. Lundeen is licensed to practice law in Florida and Vermont. The response herein is not legal advice and does not create an attorney/client relationship. The response is in the form of legal education and is intended to provide general information about the matter within the question. Oftentimes the question does not include significant and important facts and timelines that, if known, could significantly change the reply and make it unsuitable. Mr. Lundeen strongly advises the questioner to confer with an attorney in your state in order to ensure proper advice is received. If the information received has been helpful, please indicate.

She should check to see if Dad's insurance will cover the accident. Or, she should have her own liability insurance. If neither cover that accident, bankruptcy may help her. She should call a bankruptcy lawyer now. Daniel J. Winter BankruptcyLawChicago.com