QUESTION
Can a verbal contract over a monetary loan be brought before small claims court?
Asked on Apr 09th, 2014 on Civil Litigation - Texas
More details to this question:
I loaned $1400 to a former boyfriend while we were together. We had agreed that he would repay the loan over time, when it was financially viable for him. After the relationship ended he yet still to repay the loan. It was decided to attempt to remain amicable in order to settle the debt. There was still an agreement for the repayment of $1400. For insurance I wrote up a contract with terms for repayment of the $1400. The ex-boyfriend again agreed verbally to the written terms that we both agreed to. I signed a copy of the agreement and then gave him a copy to sign. The ex-boyfriend having agreed to all measures via phone & email then decided that he would not sign our agreement on the loan. On 6 separate occasions I emailed or sent via certified mail copies of this agreement with absolutely no response. He believes that because he did not sign any documents in regard to monies loaned that he does not have to repay the loan. Am I able to pursue legal action in this case?
1 ANSWER
I think so. In the states in which I practice (Texas not yet being one of them), the agreement you describe would not have to be in writing, although it would be much easier to prove if it was. Also (although this doesn't really apply to your situation because you have already performed under the agreement), if the understanding was that you would not have a binding agreement until there was a writing, and there was no writing, there would be no agreement. Also, you say you have an email where your ex agreed to the contract - that's a writing.
Answered on Apr 10th, 2014 at 12:17 PM