I witnessed this exact same thing in recent bankruptcy proceedings. I don't know if that applies here. But the parents bought their son a classic mustang. The courts seized the car. But, if the judgement is against him, the car is in his name the only way you might be able to get around this is if the son and you have a written contract, stating that the money for the car is a loan and that the car is securing that loan. To stop the courts from taking this car you would have to show that this car is colladeral for another debt that is still outstanding.
The other thing is, if your son goes through bankruptcy (need to hurry since new laws are taking affect soon) then he is allowed 1 vehicle for work, etc and the courts may allow him to keep it. If not, then again, this is where that contract between the two of you will come in handy since you will be a creditor. If you do have such letter then you could also "repo" the car to settle his "debt" to you.
I am no attorney but I have been around awhile and I love the law. But, talk to an attorney to see about protecting your investment.
