Can someone trade in a car if still owe on it and unregistered?

Question:
Friend wants to trade his car in to a dealer who will pay it off. But I don't think he can because it is not registered. He switched insurance companies and it was never reported to his state so they suspended his registration for 3 months. He claims he wants a fresh start with a new car. Please confirm that this is not possible.

Answers:

Should I buy a 07 Civic or 07 Jetta?

do you have old registration?,,and is car his name?..Is he registered owner..You can trade in car if you have registration.....but be careful make sure he files sr-23.which gives you insurance with resticted lic.why wont he insur car in state..baffled?

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