Legal Question in Credit and Debt Law in California

Re: Enfrcing Promissary notes

A promissory note is a legally binding contract under most circumstances. The statute of limitations can be very complex. It could be 4 years or 60 years or something else depending on a number of circumstances. The best advice is to simply move quickly so that the statute of limitations is not a problem.

Don't fool around, contact a local attorney who is familiar with contracts and litigation. If the amount in question is under $5000, then go to small claims court right away. It's actually pretty easy.

Re: Enforcing Promissory notes

Thanks for your posting. Yes, promissory notes are legally binding. It has traditionally been viewed that promissory note disputes are subject to the same statutes of limitations as other types of contractual disputes. These would include two years for breach of oral contract under CCP Section 339; two years for money had and received under CCP Section 339(1); four years for breach of written contract under CCP Section 337(1), and four years for an account stated or open book account under CCP Section 337(2).

Re: Enfrcing Promissary notes

The statute of limitations on a written note's date of breach is 4 years. Please fax me any documents and letters that you have to 714 363-0229 and I will call you and provide you with free consultation. Our law firm handles cases throughout the State of California.

Re: Enfrcing Promissary notes

Generally a promissory note IS enforceable. However, you need to be aware that the borrower can assert defenses such as passage of the statute of limitations (4 years from the date of breach, non-payment, for a written contract; 2 years from date of breach for oral contract), usurious interest rate, etc.

Depending on the amount of money loaned you may want to discuss this with an attorney to review the Note and discuss your options.

J. Caleb Donner

LEGAL WARRIORS (R)

805-494-6557