Uninsured car got stolen while under the care of a friend. Who is liable for damages?

I am selling a car for a friend(gal) to a friend(guy). The car was not being driven at all, so there was no insurance on the car. I gave the car to the guy so that he would be able to check it out and get it inspected before the transaction would be completed. However, before the deal was completed, the car got stolen. A week later, the car was recovered with damages (e.g. missing tires, missing bumper, etc). 1) Is the guy liable for damages? 2) Or is the gal responsible for all repairs. He is willing to still go through with the deal if the gal foots the bill of the repair. I'm thinking of asking him to get the repairs done and give the car back.