Legal Question in Business Law in New Jersey

Re: Missing Loan Document

The fact that the original documents may be lost or misplaced, does not eliminate your responsibility to pay the loan in accordance with the terms of the missing documents. If the loan was securred by a Mortgage or other recorded document such as a UCC Financing Statement, some of the terms may be in that document. If the Note itself is lost, and it is the only document covering the terms of the loan, including rights to change the interest rate, litigation will propbably ensure, initiated by the bank or you. In my opinion, unless they can prove otherwise, the current repayment terms will previal. One further comment: if litigation starts, you could be compelled to produce your copies of the documents as part of discovery, and these would determine what a Court decides.