Was your car or truck repossessed when it shouldn’t have been?

What is Improper/Wrongful Repossession?

An improper repossession, or wrongful repossession, may occur if the creditor or repossession company does not follow the law or does not have the right to take the vehicle. Some examples of improper repossession include:

• Breach of the Peace: It could be as simple as saying, “stop.” A court will later determine the “totality of the circumstances” for a “breach of the peace.”
• Improper Notice: Without the prior and required notice of repossession given.
• No Default: When there has not been a default in the terms of the loan/lease agreement yet the vehicle was still repossessed.
• Police Assistance: The police assisted in the repossession absent a court order.
• No Right to Repossess: The finance company does not have a “present right of possession”.

Improper/Wrongful Repossession in Illinois

In Illinois, an improper repossession occurs when a lender seizes a vehicle without adhering to the state’s legal requirements or the terms set forth in the loan/lease agreement, which is critical because Illinois law provides specific protections to borrowers facing repossession, mandating that lenders must notify borrowers of their default and provide them with an opportunity to cure the default—typically within a 21-day period—before proceeding with the repossession.

Additionally, these legal protections extend to ensuring that lenders and the repossession service or tow truck operator cannot use any force, threats, intimidation, or tow the vehicle with you alongside or in it, or ask a police officer to assist in there repossession process.

Consequences of Improper/Wrongful Repossession

If a lender fails to comply with Illinois’ repossession laws, the borrower may be entitled to legal remedies, which include:

• Vehicle Recovery: The borrower can demand the return of the repossessed vehicle.
• Damages: The borrower can seek compensation for damages suffered as a result of the improper repossession to include loss of use, emotional distress, consequential damages or losses, and potentially punitive damages depending on how egregious the repossession violations were.
• Legal Action: Borrowers can bring an action for the improper repossession and the relief may include a financial settlement, waiver of any deficiency balance or other specific relief.

If you believe your vehicle was repossessed improperly, swift legal action is essential to protect your rights and recover what’s rightfully yours.