[Tess]

My question involves judgment recovery in the State of: North Carolina

I am going to file a small claims suit to recover payments made on behalf of a soon to be ex in-law. I'd like opinions as to whether I have a legitimate case.

Note: There is no written nor verbal agreement. This was done with the understanding that it was for "the benefit of the family" (helping one helps all)

Anyway to try to keep it as short as possible.

1. Down payment made on an auto loan
2. Cosigned auto loan (and she is not making timely payment and has no insurance)
3. Paid on the collection of debt incurred prior to becoming an "in-law" in this family
4. 1/3 lease agreement

The person in question has informed me that since there was no written/verbal agreement that she is not obligated to pay and she will not pay. Says the landlord can speak to her about the lease if he wants to.

She is in possession of the auto and has derived sole benefit of the debt payment. I believe that she accepted the money knowing that my intent was to help the FAMILY situation, and less than 6 months later left (knowing all along that she would be leaving to be with her "new family". I believe this is unjust enrichment, theft by deception, etc. That may be a stretch, but there must be something that I can do.

I am going to file suit, but do I even have a case?

[seniorjudge]

Q: I am going to file suit, but do I even have a case?

A: According to you, no:

...
Note: There is no written nor verbal agreement.
...

However, file it anyway in small claims and see what happens.

[Mr. Knowitall]

Loaning money on a handshake doesn't make it a gift. It just means that it's a lot harder to prove that it was a loan when the recipient of your largess claims it was a gift.

The part that makes me think you'll lose isn't that "There is no written nor verbal agreement", it's "This was done with the understanding that it was for 'the benefit of the family' (helping one helps all)". If you had a clear understanding that you were contributing to the welfare of the family and had no expectation of being repaid, that sounds like a gift to me. Once a gift is made, it's made - there are no "backsies" if you get mad at the recipient a day, a week, or six months later.

[Tess]

I know I'm not in a good position here. (and she has informed me of that in no uncertain terms) -- I am not doing this because I am "mad" at her. I am doing this because she is destroying my credit and credibility

There was a clear verbal agreement that she would make all car payments in full and on time as well as maintain insurance. She has done neither.

This is an extremely expensive lesson for me, and I am hoping to at least be able to repossess the car to sell it and give the proceeds to the lien holder. I'm thinking this is my best and only hope. I am thinking that I will contact the lien holder and inform them of my plan and hope for the best.

If I am able to accomplish the repo, I'm hoping that I can at least sue her to recover the remainder of the payments since we did have a verbal agreement as far as that goes, and for her portion of the rent that I am forced to cover now. Would that be possible?