Legal Question in Credit and Debt Law in Florida

As we do not currently have an attorney client relationship, nor do we anticipate entering into one as a result of this question, my answers here are general answers based on the limited information provided in the hypothetical situation.

Hopefully one will not have to file a lawsuit in order to recover their money. However, if one does, they will probably have to file in Louisiana, unless they have a written contract that states differently. One of the main reasons for suing in Louisiana, instead of Florida, is that a Florida court will not have jurisdiction over a Louisiana resident. Also, any debt relief protection the person will be eligible for will be in the state where they reside. Also, without mention of the amount still due on the loan it is not possible to determine whether a small claims action could be brought. The action is based on the amount owed at the time of filing, not the original amount of the debt, and it will depend on the law in the jurisdiction where the suit is filed.

One could hire an attorney to collect the money without filing a lawsuit, but if the person refuses to pay then the creditor will be left with no choice but to file. Emails can be a good way to establish a relationship and an acknowledgement of the debt, but without a written contract expressing repayment terms and other provisions that a written contract should have the creditor may find it difficult to recover all that they seek.

The creditor obviously has to consider whether the cost of hiring an attorney is economically wise. Without a written contract that has a provision for attorney's fees, there is little chance that the creditor would be able to recover the money spent with the attorney to recover the original debt.

You should consult with a collection attorney just so they can evaluate all of the facts and provide you with advice specific to your case.