Years ago I was starting a small business. My friend had done really well in a business and offered some money to me as a gift to get started in my business. Now, after 3 years she is harassing me, daily by email to pay her back. I started sending her some money each month to make her happy, but she continues and now is threatening me with legal stuff. She also said she was going to send an email out to all my friends and family to let them know what kind of person I am.....I am confused. Is there anything legal about what she is attempting to do. I am sending her $500 per month and she is cashing the check. There is NO contract of any kind. It was simply a "gift" from a "friend"!!!
Help! Please!
2006-09-19 05:47:48 · 29 answers · asked by Alecia C 1 in Politics & Government ➔ Law & Ethics
She has no legal standing to demand the money back. Unless you had a tacit agreement that she was going to LOAN you the money and that you were required to pay her back at some point and/or on some schedule, she's screwed. You said there is nothing in writing, and she was the one who offered you the money to help you start your business, so I'm assuming there was no discussion about paying her back...Now, she could argue that she gave you the money in good faith with a reasonable expectation that you would pay it back, but again, without any type of written or verbal contract, she's out of luck.
2006-09-19 05:52:30 · answer #1 · answered by sarge927 7 · 1⤊ 0⤋
If the money was a gift and there was no witnessed verbal contract for you to pay it back your friend has no legal claim. You have, however made a terrible mistake. By sending money to this person you have admitted that there is a debt to be paid back and so put yourself into a very difficult position. If you had not made any payments you could have simply said "prove it" and the onus would have been on them to demonstrate that there was a valid debt. Now, by making payments you have put them in the stronger position as it is for you to prove that there wasn't, after all why pay money if you do not owe it?. With nothing on paper and no witness to any verbal contract the whole thing will be a big mess if it goes to court and it may well cost them too much to recover the 'supposed' debt. Just stop paying and wait to see what happens and hope that they give up without taking the matter to law. Good luck, but remember NEVER ADMIT ANYTHING, if you are in the right let them try to prove that you are not.
2006-09-19 06:12:38 · answer #2 · answered by U.K.Export 6 · 0⤊ 0⤋
You should have had legal advice before you started paying her back. Your checks to her could be construed by a court as an admission that there was a loan.
I do not know what state you are in. I do not know what verbal or written agreement there was. A gift requires a certain understanding. I do not know the facts.
Whether a jury, or a judge acting as such, would believe that you were given a gift and not a loan or contribution of capital is a question of fact not to be decided in Y! Answers.
If there's a lot of money at stake you really need legal advice from someone licensed in your jurisdiction. As usual, the bulk of the "advice" given on legal issues here is rubbish.
2006-09-19 06:48:27 · answer #3 · answered by Anonymous · 0⤊ 0⤋
It is legal for her to want you to pay her some money, yes :-)
But you don't have to. Since there is no lending agreement between you and her, it is just her word against yours. She says it was a loan, and you say it was a gift.
She should not be able to get a judgement against you in any sane court.
One problem however is that by sending her that money monthly, you are kinda admitting that you owe her (at least, it can be argued that you are). If you believe that her taking you to court is a real possibility, and if you really do not want to pay her back, I suggest that you stop sending her those checks right away.
As to her sending emails to your frriends... there isn't much you can do to stop her (short of suing here for slander afterwards) ... but if those are your friends, shouldn't they be inclined to believe you, not her?
2006-09-19 06:09:30 · answer #4 · answered by n0body 4 · 0⤊ 0⤋
A verbal agreement is still legal and binding and you can still be held accountable for it. But if there is no paper trails and no witnesses to the conversation, it probably would amount to her words against yours as to whether or not it was a gift or a loan. I am not a legal expert tho, but I have had that happen with a friend and the money was not for business reason but more to help him on hard times.
2006-09-19 05:52:28 · answer #5 · answered by This Is Not Honor 4 · 0⤊ 0⤋
If there is no legal documentation between her/you in the beginning when she gave you the gift, she would be out of luck and you would be okay.
The problem now is, you have started giving her money. If she takes you to court, she can argue you have acknowledged it as a debt you owe her.
Options:
(1) Ignore her. Go to court when she files and argue that it was a gift...you gave her the money back because she was blackmailing you.
(2) Meet with her. Come to an agreeable in-writing FULL paypack amount and schedule of payments with amounts and dates.
(3) Meet with her. Come to an agreeable in-writing PARTIAL paypack amount and schedule of payments with amounts and dates.
(4) If this is a large amount, you might want to consider an attorney.
2006-09-19 05:54:47 · answer #6 · answered by Robert 5 · 0⤊ 0⤋
Okay if your friend intentionally gave you money as a gift, then she cannot demand her money back. Unless it was a mutual understanding that you would pay her (i.e. in a legally binding contract or verbal agreement) then there is a case. So don't worry about it because she doesn't have a case. In fact you don't have to repay her.
By the way, if she is threatening to bad mouth your name that is slander and is punishable by law. Don't take that crap and sue her for damages.
2006-09-19 05:53:57 · answer #7 · answered by vwarnsley_05 2 · 0⤊ 0⤋
There is no way to collect on a gift, but she considers the money a loan. She CAN collect on a loan. It will be your word against hers as she tries to prove the money was a loan, and you prove the money was a gift. If there was no contract, then it will be up to the judge to decide. Make sure any money you have given her is on record (save cancelled checks, etc.) and stop all payments. Set up a consultation with a lawyer before doing anything more.
2016-03-27 09:03:35 · answer #8 · answered by ? 4 · 0⤊ 0⤋
if she is your friend than she has a crappy way of showing it. take it to court, chances are you will not have to pay, it is a 'gift' and gifts do not need to be repaid in a courts eyes, if there was a contract then it was a loan and loans do need paid back. better yet let her take you to court and then she can be responsible for your legal costs. Good luck
the court will ask you, if it was a gift why are you paying it back and now have an issue with it?
2006-09-19 05:59:39 · answer #9 · answered by NolaDawn 5 · 0⤊ 0⤋
If there was no contract i don't think she has a case legally to be honest i find it very suspicious that she now claims she wants her money back after she give it to you as a gift all those years a go Had she mentioned during the years she expected it back at some point? maybes she has got money worrys now was jealous because you were doing well.......very strange
2006-09-19 05:56:11 · answer #10 · answered by tweetypie88888 4 · 0⤊ 0⤋