Small claim fiasco.

[alexander62]

Hi everyone I just thought I would post this after I took someone to the small claims court for a debt of £4000.

The circumstances were... I lent someone £4000 topay their mortgage as her husband had been sent to prison and I tried to help her out. The outcome was ..she refused to pay me back anything so I took her to court. The case was dismissed even though I had loads of evidence saying she owed me the money and she had nothing apart from her word saying it was a gift which it clearly wasnt. I even had evidence from her husband stating it was in fact a loan. I was grilled by the judge severely at the start of the case and he did not hear any evidence at all. He just asked me if I had given a date when the loan had to be paid back. Iduly replied no as I had trusted her to repay me at a point in the near future. His point was as there was no date given to pay it back then she could take forever to pay it and there was no likelihood of me ever getting it back. Even as she had put her property on the market and stood to make a substantial profit from the sale. I was basically stitched up like a kipper so to speak so everyone be warned please get legal advice before you decide to take a claim to the small claims court. There is no room to appeal as it has to go back to the same judge for his approval to take it futher.I mistakenly thought all I had to do was prove there was a debt owed and if it was over 51per cent chance that I was owed the money he had to find in my favour even if I did not get the money back, that would be a matter for enforcement. Sorry to ramble on but I am gutted and have lost all faith in the judicial system.

[IdaInFife]

moved to legal issues

[andydd]

Exactly what documents did you provide to the court ?

 

Statements by various people would normally be claeed as 'witness statements' and not actually written 'evidence'.

 

Andy

[alexander62]

I provided witness statements proving that the money was a loan one statement from her husband and one from my wife also mobile phone texts proving it was a loan. My total argument is why when I have proved she borrowed the money the judge said there was no case to answer when there was no end date when the loan became payable in full. All I wanted was a judgement to say she owed it not how long it would take to pay it back. I fully expected not to see it again but she walked out of the court cheering as she had won.....She won nothing apart from showing that she was just another sponging low life that has beaten the system. I am honest and dont tell lies yet I have lost and to add she is my stepdaughter, she has devastated her mother and the rest of the family. If I had lied in court and provided a end date when the loan had to be paid back I probably would have won the case thats what you get for being honest.

[andydd]

I think you will find that what you provided may of been evidence but it wasnt clear proof of a loan, this would be a signed proper loan agreement (which with the benefit of hindsight is what you should of done).

 

Clearly in this case, the judge decided that there was not enough proof that a proper loan had been made and it came down to your word against theirs.

 

I doubt whether anyone here could advice you a lot more without seeing the actual documents that you provided to the court.

 

I'm unsure as to the appeals procedure and how it applies to small claims but it might be worth investigating.

 

Andy

[Crazy Diamond]

Sorry you feel that way, but the judge acted correctly.

 

Your case wasn't for a declaration that you were owed the money, but for you to obtain a judgment so you could recover the money from her. Since you failed to set a date by which she should repay you, or made arrangements on instalments which she then defaulted on, then the judge was absolutely right not to grant you judgment.

 

Let's put it another way: imagine that you borrowed money from a friend, and you verbally agree you will repay in in 2 yrs time to the day. 6 months later, out of the blue, friend decides he wants his money back NOW. You obviously don't have it, so he takes you to court. How would you feel if the judge sided with your friend and found that you had to repay the money immediately and that he can send in bailiffs if you don't come up with the cash? I am pretty sure you wouldn't be too impressed.

 

In the absence of a written agreement and only one word against another's, the burden was on you to convince the judge that what you said was true, and since you didn't even have a basic agreement as to when to repay it, I don't understand how you can expect the judge to find in your favour. You had to prove that it was a loan and that she had defaulted on the repayment. You had no proof, so your case was dismissed. I'm afraid that is the correct decision from the judge even if you don't like the result, and an expensive lesson for you to always set terms in writing, even with someone you think you can trust.

[alexander62]

Thanks for those replies and I fully understand why I did not get the judgement, but I did have proof in text from a mobile phone on different occasions that it was a loan and a signed statement from her husband stating it was a loan and it would be paid back but no particular date. I accept I have lost the case and worse still a member of my family who I thought I could trust. Thats life I suppose I will now get on with my life thanks for your replies.

[Crazy Diamond]

Don't get me wrong, I completely understand your bitterness. I was stitched up (hundreds, no thousands thankfully!) by a friend of my DD's, who lived under our roof when she had nowhere else, and who was treated like a member of the family for years, and it still rankles years after the even that she took advantage of us in such a manner. However, I do believe that what goes around comes around and I have to hope that in her future life, she in turn will find out what it feels like to be betrayed like that. As you say, what's done is done, no point in chewing on it, you'll give yourself an ulcer and it won't change a thing. It does get better after a while if it's any consolation.