Hi - my name is XXXXX XXXXX I'm a litigation attorney. Thanks for your question. I'll be glad to assist.
Unfortunately, creditors are entitled to deficiency judgments when property is repossessed and sold to pay on/pay off the debt owed.
The only real thing that your friend could challenge is the price obtained from the sale.
Your friend could claim that the fair market value for the RV was more than it sold for and that the creditor did not act in good faith in trying to sell the property in order to get as much money as it could to reduce your friend's obligation to pay any deficiency.
In order to do this, your friend would have to find out how the RV was sold - - was it via public auction, bids, etc., or was it just put on the lot and sold that way. Also, you'd need to know what the fair market value of the RV was at the time of sale to see if the amount accepted was far below that figure.
If so, your friend could object to the amount claimed in the lawsuit and allege that the lender did not act in good faith, and therefore, only the amount due over and above the fair market value should be an issue for the deficiency.
But, if the amount recovered by the lender is close to the fair market value, then there's not much hope that the court will reduce the debt.
Thanks for your question, and please let me know if you need anything further.
DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.
The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).