Legal Question in Credit and Debt Law in California

Collection of Funds Guaranteed

i am an australian living in bangkok. a friend living in fesno invited

me to place money with him for share option trading in the new

york stock exchange in January 2004. thru email it was agreed i

would deposit for investment us$50,000 which i did into his

personal account on the written understanding that 50% would be

guaranteed at 12.5% a month in the case of lose. he has

subsequently lost everyones money and is now refusing to

agknowledge the guarantee or make any effort to repay the money

guaranteed. he still answers his phone but is being very coy about

the situation and promised to repay some but i suggest he is

hoping i will go away as i do not live in the us.he has a lot of

property in fresno he owns and was effectivley retired at the time

he started the share business and has the assets to sell if he

wanted to pay back half plus interest agreed to. what are my

options to recover the money and likely cost in doing so? will it be

possible that he will pay for all costs ?


Asked on 7/26/04, 2:58 am

3 Answers from Attorneys

Larry Rothman Larry Rothman & Associates

Re: Collection of Funds Guaranteed

I would havee to review your written documentation including any letters. We handle cases throughout California. We can review your documentation by e-mail through Acrobat and speak with you by phone or via e-mail. There may be a usury problem. In a lawsuit, the prevailing party can recover costs of suit. Legal fees in a contract dispute may be recoverable if the contract includes a clause allowing the reinbursement of legal fees if litigation is necessary.

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Answered on 7/31/04, 9:04 pm
Joel Selik www.SelikLaw.com

Re: Collection of Funds Guaranteed

If he will not voluntarily pay, you will need to sue him. Your attorney fees will not be recoverable unless your written agreement provided for that. Your agreements will have to be reviewed to determine the plusses and minuses of any lawsuit.

JOEL SELIK

Attorney at Law

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This is just general information. No representations are made and no attorney client relationship is established by this communication. In most matters there are strict time limitations within which actions may be taken or your rights will be compromised. We are not taking any action on your matter and will not be considered your attorney or tax representative until both you and we have signed a fee agreement.

We, therefore will take no action on your behalf unless a written retainer agreement is signed. There are strict deadlines, called statutes of limitation, within which claims or lawsuits must be filed. Therefore, if you do not retain SELIKLAW, you should immediately seek the services of another attorney or other advisor.

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Answered on 7/26/04, 9:40 am
Sheldon G. Bardach Law Offices of Sheldon G. Bardach

Re: Collection of Funds Guaranteed

You can probably answer that question better than any attorney. Even if you get a judgment against this guy, that is for your dollars, and costs, it is only a piece of paper. Collecting it is the real payoff. It does sound like this is a guy who uses other peoples money because he does not have any of his own. In that case, you will be left with only the piece of paper called a judgment. If this is not correct, go after him.

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Answered on 7/27/04, 9:20 pm


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