Problem with Being sued!!! Don't know what to DO!!

In the US, the dealer should be suing the guy who sold it to you, not you. Unless you had reason to know it was stolen, you are not liable to the dealer.

If they sue you in small claims, that's your defense.

But, if you are leaving to enter the Navy, then go. It will be very hard for the dealer to get jurisdiction over you and to get a judgment.

EDIT - both asker and dealer are bona fide purchasers for value. Dealer can keep the ATV and asker can keep the money. The person who originally owned the ATV sues the one who stole it. Or, if the dealer has turned over the ATV to the police to be delivered to the original owner, dealer sues the thief.

Bona fide purchase for value:

"one who pays a valuable consideration, has no notice of outstanding rights of others and who acts in good faith" concerning the purchase, 303 S.W. 2d 110, 118; "one who acquires the apparent legal title to property in good faith for a valuable consideration and without notice of a claim or interest of a third person under the common source of title," 294 S.W. 2d 308, 311, innocent purchaser for value. 498 S.W. 2d 73, 76. The Uniform Commercial Code defines "bona fide purchaser" as a "purchaser for value in good faith and without notice of any adverse claim who takes delivery of a security in bearer form or of one in registered form issued to him or indorsed to him or in blank." U.C.C. §8-302.

EDIT #2 - it means what I said in the first place. If you had no reason to know that it was stolen and you paid money for it, then you are not liable to anyone for it. Even if the original owner came to you while you still had it, you would not have to return it to him, because you are a bona fide purchaser for value. His option would be to sue the guy who stole it. That's what the dealer can do. That's your defense. You are a bona fide purchaser for value and you aren't liable to anyone.

Contact a lawyer. You accepted the ATV. Technically you received and sold stolen goods. You got scammed, and the dealership can sue you for the money.

A good attorney can handle this and show that you had no knowledge and are just as much the victim as they are. Problem is, you may have to pay the dealership if they sue. After that, you could sue the guy and get your money back from him. If he has it to give.

But basically....contact a lawyer.

I think the only thing you can do is try to make some arrangements to make payments to them. I realize that will be very hard, but you don't want them suing you because then you'll owe the original money plus court costs. Meanwhile, file for restitution. You might not ever see your money, but you need to at least try. I'm assuming you traded without getting a pink slip for the ATV.

Better come up with the money. As the police said, you can sue the guy that dooped you when they catch him.

Put it on a credit card. Ask family / friends to help out.

Talk to the dealership about a promissory note for a monthly payment while things get resolved.

I'm not to sure about this but the Navy might be able to help....my sons are in the Army and they have access to some form of law assistants.....So you might want to talk to your recruiter

Thats why you never buy something that doesn't have a clean title.