Legal Question in Business Law in California

Re: Promised money for help but didn't come through

Here is a quotation from a recent appellate case: �A loan commitment is not binding on the lender unless it contains all of the material terms of the loan, and either the lender's obligation is unconditional or the stated conditions have been satisfied. When the commitment does not contain all of the essential terms ... the prospective borrower cannot rely reasonably on the commitment, and the lender is not liable for either a breach of contract or promissory estoppel.� Peterson Development Co. v. Torrey Pines Bank (1991) 233 Cal.App.3d 103.

Whether an enforceable commitment to lend can be found in your e-mail correspondence would require a lawyer to review most or all of it at some length. You may have a valid case for breach of contract here; your potential judgment would not, however, be for the amount of the proposed loan, but for the harm you foreseeably endured.

I must tell you that banks and other lenders are winning most of these cases, and jilted would-be borrowers are losing. The courts' attitude seems to be that a lender has the right to change its mind right up until actual funding. However, this is not to say that you have no chance. If there were agreement on all the terms, and the promise to lend were unconditional, you could win.

At this point, you should print out and organize the papers and see if you can interest a local lawyer in giving you a free consultation, during which he or she could look over your evidence.

Re: Promised money for help but didn't come through

Promissory estopple if you have suffered monetary damages, intentional infliction of emotional distress if you have suffered severe emotional distress. Contact me directly.