Ny law and deposits for used car with private seller


New Member
New York
I was attempting to sell a car for 16k which the potential buyer agreed to. After test driving he noticed a ticking noise and wanted his mechanic to
Look at it before fully committing. Before he came to see it I told him i had just had a transmission put in since the old one was having issues. He gave me a 5k deposit in the meantime while the car was in the shop. NO TITLE WAS SIGNED. His mechanic said the transmission was refurbished not new and he was only going to give me 5k more for it. I told him I'm selling for 16k not 10k. he went to the mechanic and hid the car until i agreed on his price. This was in 2021. I tried to get my car back and he told me i need to give him 7k for wasting his time not selling it at the price he wants and then he will give me the location of the car. After over a month of trying to get my car back, i went to the police. They said since i allowed him to use the car its not stolen but its unauthorized use. The cop told him bring the car back to the precinct and no report will be filed. Instead, he went to jersey and hid the car. I only knoe because my ezpass was still in the car and i was getting notifications from ez pass that i just paid a toll and it was being replenished. 2 months later i get a letter in the mail in being sued for 7k. Since this was in 2021 and court is in 2024 Now my insurance company legally owns the car since its a total loss. Do i owe him a deposit when he failed to return the vehicle i never signed a title over for?