Legal Question in Intellectual Property in Florida

We sold property and was paid x amt.of dollars then the remainder $ we allowed a promissory note. The language of the note we would like clarified. For instance "the maker" of the note, would that be us or the party paying the note? And "the holder" of the note, would that be which one?

Please explain what the following paragraphs of the note mean.

"This note is to be contrued and enforced according to the laws of the State of Florida; upon default in the payment of principal and/or interest when due, the make of this note may, at their option, record a second mortgage on the property"

AND

"Unless specifically disallowed by law, should litigation arise hereunder, service of process therefor may be obtained through certified mail, return receipt requested; the parties hereto waiving any and all rights they may have to object to the method by which service was perfected."


Asked on 10/05/10, 7:54 am

1 Answer from Attorneys
David Labovitz Labovitz Law Firm, P.A.

First, the "maker" is the one owing the money and the "holder" is the lender. Both paragraphs above are very unusual, not usually in a promissory note and don't make much sense to me. First, you can't record a second mortgage unless your borrower has executed the document and you have it to record. Regarding the other provision, I don't believe you can waive service in advance of suit. However, once sued, the parties can agree to waive and you would get them to sign a waiver (if they agree) and file it with the court. In reality, your best bet if you sue is to serve them properly in accordance with the law.

Read more
Answered on 10/14/10, 3:36 pm


Related Questions & Answers

More Intellectual Property questions and answers in Florida