How hard is it to sue a friend who borrowed money and will not pay it back
I have loaned a friend a large sum of money over 12 years and she has paid me back. nothing is in legal paperwork but emails and verbal agreements.
With all due respect to my colleagues, the real question here is "how long has she owed you this money?" If it is over 6 years, in NJ the Statute of LImitations will bar your suit. A loan is a contract and a suit for breach of contract must be brought within 6 years of the breach. There are a number of other considerations that need to be taken into consideration and you should sit down and speak with an attorney who is familiar with this area of law. To sue someone is simple: file a complaint and serve the person you are suing. To win the suit is more difficult. Talk to counsel and good luck
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Your friend may not know about the statutes of frauds and limitations--- your friend might be convinced by your lawyer to enter into a written agreement with you now and the enforceability of your original agreements may never come into play.
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Mr. Warshaw is correct. The issue is one of statute of limitations not statute of frauds.
Technically, the limitations period to sue for breach of contract is six years. However, the time to sue does not begin on the day you made the loan; it begins when the other party breached the agreement. For example, if the borrower has made periodic payments, the limitations period does not begin until after the payments stopped.
If the amount is significant, you should retain an attorney to pursue this matter.
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I assume she is an "ex" friend, now. i think you understand that this will be more difficult than if things had been put into writing. You don't say how much money we're talking about but after 12 years, i would imagine the loans could add up to real money. See a lawyer in the Englewood area.
This questions is too vague to be answered properly in this forum. What were the terms of the agreement? How much money and when was the money loaned? Twelve years ago, or over a twelve year period? Extrinsic evidence in the form of emails or writings can help establish a contractual relationship depending on the language used. Do you have proof of payments, either the lending or the repayments, etc.? You would be well advised to have all of your documents and evidence properly reviewed by an experienced attorney.
As others have stated you may well have a statutes of fraud problem. In addition to a statue of limitations defense if action is commenced. Suggest you discuss the particulars with a NJ contracts lawyer. In some cases email acknowledgments of the loan and its agreed payment terms can help establish an agreement to repay in the absence of a more formal writing. Good luck to you.
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Your description states she has paid the loan back, but your question states she has not. Assuming a typo, the key will be when you last loaned her money and what was your agreement about repayment. Since this appears to be an oral arrangement, she could easily say the money you gave was intended as a gift. So, in answer to your question, it will be very hard to prevail.
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It will be very difficult. The Statute of Frauds for a deal over one year comes into play. It will make your task very hard.
Always reduce loan agreements to writing.
This is not a Bankruptcy matter, so I have changed the Practice Area
Respectfully, the statute of frauds does not apply in this case. The statute of frauds is only applicable in the following circumstances: Contracts in consideration of marriage. This provision covers prenuptial agreements. Contracts that cannot be performed within one year. Contracts for the transfer of an interest in land. This applies not only to a contract to sell land but also to any other contract in which land or an interest in it is disposed, such as the grant of a mortgage or an easement. Contracts by the executor of a will to pay a debt of the estate with his own money. Contracts for the sale of goods totaling $500 or more. Contracts in which one party becomes a surety (acts as guarantor) for another party's debt or other obligation.
Karim K Arzadi
Personal Injury Lawyer in Perth Amboy, NJI agree. Sounds like there have been several separate loans; some may be time-barred; some may not. This individual really needs to sit down with a lawyer. There may be a chance of recovering only a small part in which case the question might want to just try and litigate the mater pro se. Also, I'm curious as to whether the friend paid back ANYTHING. Best of luck to the questioner.