Legal Question in Civil Litigation in Massachusetts

Re: Possesion of shared purchases

If no problem develops then it makes no difference if there is a written agreement or not. The purpose

of a written agreement is in the event the parties can't agree in the future. In that case, a written

agreement can help resolve issues. You should have an attorney review the potential agreement.

Alan Pransky

Law Office of Alan J. Pransky

20 Eastbrook Road

Re: Possesion of shared purchases

I'll be glad to handle this for you; I could probably

work for the both of you to hammer out an agreement.

You hit the nail on the head; if you pay her and she stiffs

someone else, she might have given them a purchase money security

interest in the goods (normally in a credit card agreement) and they

could theoretically repossess from you. You would need receipts

from her showing that you purchased the goods from her in good faith

and for a fair price to help protect you; knowing that she's paying off

the bills would be even better protection against that danger. You also

need some protection against her coming back and saying that she's only

lent you the furniture but that it's still hers or saying that she didn't

get some certain payment from her. Hopefully you used either checks which

you have in cancelled form, preferably with notes explaining what they are

for, or you have gotten receipts signed by her for the cash payments you have

made. Don't think you're accusing her of anything by asking -- you never know

when some other person will enter her life (new man, a baby, a sick mother, whatever)

and the rules, out of necessity, could suddenly change. She, by the way, should

have some protections, too. Even though it's been amicable, there are still reasons

to be business-like.

Not having things written down is the worst possible situation for you both. Please

let her know that payments from you for furniture she's essentially selling to you would

not be considered income by the IRS (unless she's selling it at a jacked up price

to make a profit, or if she's been reporting any business (schedule C or separate business

tax return and has claimed that stuff as depreciable assets and is selling them now for less

than the balance left after depreciation ... but it doesn't sound like that's her

gig.)

So, since your payments to her aren't income, she shouldn't be worried about creating records.

She obviously doesn't work in a tax law firm. (Where does she work?)

Other reasons to have things written down: inevitably there could develop

differences of opinions, e.g., you could suddenly say that you're buying

used furniture and shouldn't have to pay the full original price, since you

guys "drove it off the lot" (and used it initially) together; to counter that,

I'd say that if she has footed the bill and has been paying interest, you

should be paying a greater amount to account for the interest. Whatever the

stories, as long as you two have an understanding, with or without these

considerations, it should get written down and signed so that noone starts

playing games or reconsidering the deal later on.

I suggest you call me. I love to work out deals for two amicable people.

I'm in the Boston area also; who does she work for? I might know her or the firm.

Stuart Williams

Law Offices of Stuart J. Williams

21 Walter St.