Vehicle Accident Involving Unregistered Vehicle

Good day. I hope you can help me understand my options in the current situation I am in. Last Thursday, I was driving my Lancer while under the influence of alcohol when I accidentally bumped into the back of a 2005 Honda Civic. It turned out that the Honda Civic has not been registered since 2008 (bale 4 years expired na). At the police station, the first agreement was that I was responsible for paying the restoration of the Honda and the owner of the Honda even told us that we can look for a shop that is accredited by Honda to have the car restored. We assumed that damages to his car would only take two weeks to get fixed. We agreed that both parties will bring in shops to take a look at the damages. The mechanic of the Honda owner mentioned that the car is already considered a wreck and recommended that it be replaced. On the other hand, two shops that we asked to look at the damages told us that the vehicles can still be restored because they have the appropriate machinery to fix the chassis.

Now, the owner of the honda is asking us to replace his vehicle with a same 2nd hand model which is worth about 350k. The restoration cost on the other hand will only be around 150k. He is now changing the initial verbal agreement saying that because the restoration will take longer than 2 weeks, we should pay for any inconvenience that he will incur per day until the vehicle is fully restored. I told him that we can only afford to pay for the restoration of the vehicle as agreed upon earlier. It is now possible that this will end up in courts.

My questions are:

1. Can I use the fact that he was driving an unregistered vehicle (4 years expired) in the case?

2. What will be the possibile outcomes on my part if I let it go to trial?

Any help from you guys will be much appreciated.

non registration will not exempt you. trial may be your best negotiation tactic to force them to go through it and hopefully they will lower their demand. but it can also go the other way