Iowa Breach Of Contract Legal Questions

It probably won't be hard, but if may be expensive becasue you may not be able to assert a claim against an out of state defendant in small claims court (check with the clerk of your local small claims court to see if its rules permit suing an out of state defendant there), which means that you'd have to sue in another court with higher court fees, unless you are close enough to your friend to be able to sue him in his local small claims court.  Of course, a Court can only give you a judgment.  Thereafter there are a lot of ways that you can try to collect, but ultimately if your friend doesn't have enough to pay the judgment, you may be able to force him into bankruptcy, but you will not be able to collect.... Read More

There's no way of knowing whether the promissory note itself will be enough evidence without knowing what, if any, defense the debtor will assert.  Often the promissory note itself is enough, but if, for example, the debtor asserts that they didn't sign the note, you would need evidence (from a handwriting expert usually) that the signature is heirs.  If the debtor claims that she was not of age when she signed the note, you would need evidence of her true age.  And so on.  The note is certainly a sufficient basis to start a lawsuit, except that the debt may have been wiped out in bankruptcy. You say that this person filed bankruptcy after signing the promissory note, but then you seem to distinguish between her bankruptcy and her "personal" obligation, implying that the bankruptcy wasn't personal.  If the bankruptcy was for a separate entity, a corporation for example, and not the debtor personally, it would not wipe out the note, but if she personally filed bankruptcy, it almost certainly would. With limited exceptions, such as debts arising out of drunk driving, student loans, debts incurred by fraud, etc., a bankruptcy filing wipes out all debts listed in the bankruptcy petition.  The creditors receive any payments, full or partial, from the bankruptcy estate, based on the payment plan ordered (in a ch. 13 or ch. 11) or based on the sale and pro rata distribution of the debtor's non-exempt assets (in a ch. 7).  Unsecured creditors, such as yourself, would come behind secured creditors and priority claims. If you obtain a judgment, you may be able to collect even if the debtor has no income, by forcing the sale of any assets and having the debt satisfied from the proceeds.  However, you are probably correct that you would not have recourse to any of her husband's income or assets.... Read More

I'm not familiar with Iowa law, but I don't think the lack of notarization should be a problem, unless your ex claims that his signature was forged.  If so, you can prove that it is his signature by having a handwriting expert compare the signature on the document acknowledging the debt with your ex's genuine signature on other documents.... Read More