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Collecting from a family member

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Almost 2 years ago, three members of my family pooled our resources ($31,000) to stop foreclosure on my uncle's home in Utah. My father sent the check directly to a mortgage debt collection agency after ensuring that they would not foreclose if we caught my uncle up on his payments.

My uncle agreed to put his house on the market (valued at around $650,000!!) to repay the debt. As an alternative, my grandparents - my uncle's parents - both died around the same time and he promised to pay us out of the estate.

Needless to say, it has now been almost 2 years and he has not sold his house. He received approximately $30,000 as an interim payment from my grandparents' estate, but didn't pay us a cent. The estate will settle in the next few months and will provide him with enough to repay us but he has basically stopped communicating with us.

What are the options in terms of:

a. his home (a lien? other options?), or
b. the estate settlement (can the money go directly to us if we prove an outstanding debt?)

Incidentally, my uncle has not signed the contract we provided acknowledging the loan, but my father feels we could reconstruct the paperwork.

Thank you!!
 


J

JasonRT

Guest
Dear meldresler,

You are going to have to get together with the others that made the loan and file a lawsuit against your Uncle. Upon filing the lawsuit you may wish to have the attorney representing you seek a Writ of Attachment preventing the funds in your grandparents' estate from being conveyed to your Uncle until the litigation has been adjudicated.

Perhaps this will provide him adequate incentive to settle with you before having to place a lien against his house and take other enforcement procedures after you obtain a judgment against him.

Good luck!


JASON@LEGISLATOR.COM
 
Jason -

Many thanks for your excellent advice.

I passed it to my father who said he will "not support me and will oppose me" if I attempt any legal action. Plus, I wrote my check (for 10,800) to my father.

So... time to switch to the family counseling website I guess.

:(
 

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