2. Figure damages for the car loan refinance contract I handed out in class given the following circumstances. Assume that the borrower defaulted on the loan and did not make any payments after the first six months of the loan. The car was repossessed by the Bank and sold for $8,000. The principle amount due on the loan at the time of default was $10,000 and the interest due including penalties totaled $2,000. The Bank spent $1,000 on legal fees and $500 in court costs. In addition, it was foreseeable by the parties that the Bank would have to make some basic repairs to the car and would have to have the car professionally cleaned prior to the sale, which cost $1,000.
2007-10-31 09:09:09 · 1 answers · asked by ryan h 1 in Politics & Government ➔ Law & Ethics
$6,500 if the court included legal fees, or 5,500 if not. Interest would also start to accrue.
2007-10-31 09:14:26 · answer #1 · answered by Songbyrd JPA ✡ 7 · 1⤊ 0⤋