The sales manager is correct... You will be responsible for the balance.. and I would suspect they will come after you for that type of money... Bankruptcy will be the only way to keep them away from you..
If you don't want to file BK.. I would suggest you contact the lender and let them know what you are doing.. they MAY be willing to renegotiate the loan to a monthly payment you can afford... yeah it sucks to pay for something you don't have... but, you would avoid a major hit on your credit... and speaking from experience.. a hit of any kind will do major damage to your credit in this economy..
I am 6 years out of my divorce and still trying to put all the pieces of the puzzle back together on my credit.. my EX didn't pay for a gas card, which came back on me... I fought it and lost.. the "judgement" against me was paid immediately, but that doesn't matter.. nor did it matter that I had a divorce agreement that says she should have paid for it...
Bottomline... I wish you all the best.. this is a terrible set of circumstances.. but my experience with banks now-a-days, they don't care.. you are only a number (credit score) and if you don't hit the number they want, you don't get a loan, credit card, house, car or RV for the next 7 years (assuming you file BK).. the difference will be on your credit until paid or BK is filed..
Good luck !!
Eric & Denise
2012 Itasca Sunstar 35F
2010 Harley-Davidson Ultra Limited