Legal Question in Credit and Debt Law in New York

''A relative is suing me for money given as a gift ... what can I do?''

From 1993 to 1996 a relative gave me money (in four checks) to pay various bills. I had never asked for it but this relative was very close to me and gave it to me to help me out. This was NOT a loan.

At the prompting of another relative, a suit was initiated against me. I never received notice of a court date and therefore missed the hearing. A judgement was filed against me ... I only learned about the judgement when I recieved a solicitation from a bankrupcy lawyer who refered to the case number in his mailing! My bank acccounts were all frozen by then (as they still are, three months later). I immediately hired an attorney but I am not sure this case is in the area of expertise. I need some answers now:

Even though the money in question was never a loan ...

Does a statute of limitations apply to this case at all? (Two checks were given in 1993, one in 1995 and one in 1996).

How can I unfreeze my bank accounts?

Can I protectect myself in any other way?


Asked on 7/26/01, 7:13 pm

1 Answer from Attorneys
Garry Hanlon

Re: ''A relative is suing me for money given as a gift ... what can I do?''

To open up a default judgment, there must

be excusable neglect for the failure to

appear, and a valid defense. This motion

must be brought within one year of the date

of the entry of judgment

There is a 6 year statute of limitations.

However, if the person is going to lie

about it being a loan, I would presume

that they will lie as to when it was to

be repaid and run six years from then

Absent a Court Order, you will not get

your accounts unfrozen, because the judgement

is still in place. This needs to be vacated

before that occurs.

Read more
Answered on 7/29/01, 9:52 am


Related Questions & Answers

More Credit, Debt and Collections Law questions and answers in New York