Legal Question in Credit and Debt Law in Texas

I took out a title loan to help my partner (Texas). The details regarding that are trivial, so to make a long story short, he promised to make the payments. Today I got a call from a "process server". She stated that due to non-payment of the loan, they are in the process of filing felony charges against me. Can they do that? She said it was in the contract, but the only thing I can find in the contract says something about being "governed by the laws of the State of Texas". I assumed this would be a civil matter, not a criminal matter. Any help would be greatly appreciated.


Asked on 4/13/10, 10:04 am

1 Answer from Attorneys
Charles Williamson Charles J. Williamson, Attorney At Law

Without knowing more, I would say it sounds like a scam. "Governed by the laws of the State of Texas" just means that the laws of Texas will be used in deciding any dispute that arises under the contract. You're right, a contract dispute is a civil matter - unless its a contract to commit a crime. Other points: process servers don't call people to tell them that they're being sued, and "felony charges" are criminal charges, which have nothing to do with your situation. You may still have to make good on the loan, since you signed for it. However, that "long story short" may reveal more information that could be useful in advising you.

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Answered on 4/18/10, 11:20 am


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