'53 barn find legal question (Corvette Forum)

[D S.]

Can this be a true story or urban legend? Interesting little story on the Corvette Forum:

A friend has personal knowledge of a '53 Corvette
that has been in a shed covered since 1954. The
owner bought the car in 1953, made payments for
a year, lost his job, reported the car as stolen, received
an insurance settlement, and hid the car in a shed.
The man has since died but the car is still on the family
property in a shed for 54 years.
The family is afraid to do anything with the car for fear
of exposure to legal problems. The car has less than
1,000 miles on the odometer.
My friend has personally examined the car, it is in very
good condition,and still covered. He has asked if they
want to sell it, but they are afraid of what might happen
legally.
By my reasoning, the insurance company got the title
when they paid the loan company off. So the insurance
company legally owns the car. Statute of limitations would
cancel any criminal problems, but I would think if the insurance
company was still in existence they might want the car.
Would the insurance company still have the title after
all these years?
Would DMV still show the car as stolen?
Any suggestions?
Opinions?
sted

[Kevin M.]

Re: '53 barn find legal question (Corvette Forum)

By my reasoning, the insurance company got the title
when they paid the loan company off. YES

So the insurance
company legally owns the car. YES

Statute of limitations would
cancel any criminal problems, but I would think if the insurance
company was still in existence they might want the car. YES

Would the insurance company still have the title after
all these years? Maybe

Would DMV still show the car as stolen? What state?

If this is a true story the current owners should unload the car for as much as they can and let the new owner worry about the legal aspects.

Depending on the state this car may have disappeared off the records and there are several ways to get this car legal.

And in the long run the insurance Co is entitled to repayment of the claim, I think a Lawyer could protect the new owner. Now that being said you can add 1000's of dollars for the hassle and on a bad day lose everything.

Kevin

[Ken A.]

Re: '53 barn find legal question (Corvette Forum)

Are you sure about the mileage? The one I looked at last year had 9 miles on it, a full tank of gas and 3 bank bags full of $1000 dollar bills in the trunk. Luckily the bank had closed years ago, but I'm still having trouble passing the $1000 dollar bills.

[D S.]

Re: '53 barn find legal question (Corvette Forum)

I search for cars and parts for some C-1 to C-3 owners so I read many of the C-1, C-2, and C-3 sections in Corvette forums. From time to time I post this kind of stuff from things I read in those forums. Like that 'barn find' 1970 LT-1. This one about the '53 was too interesting to pass up. My thoughts on the insurance issue is that the insurance company had to have settled for the market value of the car at the time it was reported "stolen". The question I have is do insurance companies have appreciation value clauses in stolen vehicle cases? Regardless, I would follow Kevin Muldoon's suggestions. Certainly there can be a legal solution for this since the owner has passed away. There can be a win-win here. Personally I would be doing cartwheels over finding a Corvette like that and calling my bank.

[Joel F.]

Re: '53 barn find legal question (Corvette Forum)

I agree and before I did anything, I'd look to find a precedent for this, preferably with the same insurance company.

Worst case, you could call the insurance company and ask them if they sell totaled cars, recovered stolen cars, etc. and get a feel for how they deal with the situation.

[Michael B.]

Re: '53 barn find legal question (Corvette Forum)

What seems important to you is not going to be important to a multi-billion dollar insurance company. From what I have dealt with in auto and homeowner claims they want to get in, out and done with business. You may, by remote chance, get an adjuster or representitive that has a little car knowlege and might be interested, but by and large, if you do know or find the insurance company with legal interest in this car, they would not be interested in anything other that clearing their books.

If the car really exisits, I would spend a little time trying to research title locally and document everthing you did and then see about registering it at your local DMV.

[Philip C.]

Re: '53 barn find legal question (Corvette Forum)

YOU might be lucker than you think, Back then a lot of states used engine numbers not vin numbers so check if you can how it was registered with DMV, if it was by the motor number its easy to get it registered by the vin with NO questions. The stolen cars are not taken off the list untill found, if it was a stolen car in 54 its still on the NICB or NCIC list today under the vin or motor number. Phil 8063

[Michael B.]

Re: '53 barn find legal question (Corvette Forum)

I'm not sure about NICB but I do know that NCIC came on line in January of 1967 with less than 100,000 entries. It was up to local agencies to enter information into the system. I don't know how many agencies were interested in entering 13 year old stolen vehicle info.

I can also tell you that NCIC only retains stolen vehicle info for the year reported plus 4 and that is only with identifiable VINs or serialized numbers for parts.

[Tom S.]

Re: '53 barn find legal question (Corvette Forum)

Most states didn't have titles in 1954. But anyway let me say this, I want to be first in line to buy it if your buddy does not..I am not worried about the title, no problem.

[Jim T.]

Re: '53 barn find legal question (Corvette Forum)

Remember the story about the man that was contacted many years after his Corvette was discovered in a container on the west coast being shipped overseas last year or the year before? It was not stolen in 54, but they found the owner.

[Mark F.]

Re: '53 barn find legal question (Corvette Forum)

I'm a manager in the claim dept of a major insurance carrier. First, all records back in the 50's were paper (no computers). Yes, they are the legal owner but they may not have transferred the title. They should have but you can't be sure. I've seen some lazy staff over the years. Also, I'd be 99% sure they don't have the title or the records any longer as this is way past their destroy date requirements.

Your main concern is with the DMV. You should find someone who has access to the NICB (national insurance crime bureau) records along with checking the DMV state/national records to see if it is listed as stolen. If not, then they could request a duplicate title. I don't know if the state keeps their records back that far. I know I tried to trace my 68 Vette back to the original owner and could only get back to 1971 in the state of Washington.

If they sell it to someone knowing it doesn't have a clear title and the buyer gets in trouble, you can bet there will be a suit filed against the seller so it's better to get this cleared prior. If this really develops I can help you with the NICB as I know people that have access. Also, many states didn't have titles back then.

Hope this helps out.

Mark