LUBBOCK, Texas — On Friday, Edward Mitchell filed a motion in bankruptcy court requesting punishment against Reagor Dykes and Family Toyota of Burleson.
The document said that before Reagor Dykes filed for bankruptcy in August 2018, Mitchell leased a Toyota Tundra from Prime Capital Lease which is a Reagor Dykes company.
The lease was assigned from Reagor Dykes to MUSA Auto Leasing, according to court documents.
Once the bankruptcy case started, Mitchell continued to make the payments to MUSA. But that’s when problems started. Mitchell learned that Family Toyota “consigned” the vehicle to Reagor Dykes but was never paid.
More specifically, court records said, “Family Toyota has the title to the Vehicle, claims it was never paid by RAM, asserts that its interest in the resulting Lease is superior to MUSA’s, and refuses to release the title to the Vehicle to Mitchell or anyone else.”
For a while, Mitchell was among many other customers who were making payments on a vehicle they did not have or for which they did not have the proper title.
Eventually in April 2019, after pressure from state regulators, Ford Motor Company, local banks and many others, the bankruptcy court approved a settlement and compromise. The order meant consumers could get their vehicles (or the titles to their vehicles) that they paid for or were continuing to make payments.
“The ultimate resolution of the dispute between Family Toyota and MUSA is inconsequential to Mitchell, a good faith lessee that is entitled to have the Vehicle properly titled,” Michell’s attorney argued in court records.
Court records said MUSA did its part, but not Family Toyota and Reagor Dykes.
CLICK HERE to read Mitchell’s request
“Accordingly, the Court should enter an additional Order requiring Family Toyota and RAM to provide the Customer asks judge to punish Reagor Dykes and Family Toyota of Burleson for the Vehicle to MUSA for the benefit of Mitchell within ten (10) days,” the newest court record said.
Mitchell also wants the judge to assess “any such sanction or punishment against Family Toyota and [Reagor Dykes] as the Court may deem appropriate for their wanton disregard of the Court’s Order [back in April].”
Family Toyota and Reagor Dykes have not filed their side of the story in court records yet. They have a deadline of November 15, according to Mitchell’s request.