Legal Question in Civil Litigation in Washington

Personal loan with collateral

In April we loaned a friend a large amount of money, over $10,000.00. As security for part of the money he signed over the title to his pickup. The loan was to be paid when he collected on a job he had completed. In August he confessed he had been paid but spent the money elsewhere. He told us he would come up with the money or bring us the pickup by Sept 15. That date came and went with no contact from him. He moved, didn't return phone calls, etc.. We have now found out he filed a lost title affidavit and sold the pickup we are holding the title to. What recourse do we have? Is there any way to recover the pickup or money?


Asked on 12/05/05, 11:43 pm

1 Answer from Attorneys
Elizabeth Powell ELizabeth Powell PS Inc

Re: Personal loan with collateral

Yes. There is recourse. You take him to court and sue him. Your complaint is for money damages for failing to honor the agreement.

It is going to be easier to prove your case if your agreement is in writing, but a verbal agreement is not fatal to your claim.

You are way over the small claims limit, which is $4,000. An attorney needs to draft and file the summons and complaint - whether in district or superior court is a matter of discretion.

Also - filing a lost title affidavit under these circumstances would be of interest to the police. You want to report it.

You will do best with local counsel. Good luck with this - Elizabeth Powell

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Answered on 12/06/05, 1:00 am


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