Can a drivers license be taken away for not paying damages for another party’s vehicle and medical bills?

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Can a drivers license be taken away for not paying damages for another party’s vehicle and medical bills?

My 21 year old daughter was involved in a wreck and had no insurance at the time. She was given a ticket for no insurance and no one went to the hospital. She is now being sued for damages for the other car and for medical bills. She was told by their insurance company if she didn’t pay these bills they can have her license taken away. Is that true?

Asked on April 12, 2012 under Accident Law, Texas

Answers:

Robert Slim / Robert C. Slim - Attorney at Law

Answered 9 years ago | Contributor

Yes.  In Texas, if you are in a car accident and did not have the state required minimum liability insurance, then your license can be suspended until any judgment is satisfied.  But in order for your license to get suspended, the insurance company has to file a lawsuit and win a judgment. (Therefore, you do have an opportunity to defend yourself in the lawsuit and try to prove that the accident was not your fault).  Assuming there are no appeals, then the judgment would become final and enforceable.  If the judgment remains unpaid, then the judgment creditor may apply to the Texas Department of Public Safety to have the judgment debtor's license suspended until the judgment is satisfied.


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