Legal Question in Credit and Debt Law in New York

Indian giver

Last year a friend of mine lent me $4,000 in cash as a loan for a debt that I owed. In return for the money I let them live with me for about 3 1/2 months. They used my phone, food and stayed free of rent. There was no written contract or receipts it was a verbal agreement and they gave me cash. Now they are asking that I repay the money. I feel like I don't have too because of the verbal agreement, but I also can not pay back anyway due to financial hardship. Do I have to pay them back, can they sue me?


Asked on 8/16/04, 12:10 pm

1 Answer from Attorneys
Guy Lewit Guy Mitchell Lewit, Esq.

Re: Indian giver

Sure they can...(SUE YOU) but so can you. (SUE THEM) If the loan was cash how are they going to prove (a) they loaned you money and (b) the amount and (c) the terms of repayment? You can counter claim that the funds given to you were payment of rent, food and telephone expenses...and then ask them to prove they paid these expenses elsewhere...the court would find it odd they had no living expenses or lease for this period which would support your version of the "facts". Next time get them to sign something that at least describes the deal...

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Answered on 8/31/04, 2:39 am


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