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My sister and her ex-husband promised in their divorce decree that they would repay my loan. They never did. Is this legally binding?

Twenty years ago, my sister’s husband left her. She had two young children of her own and a lot of debt. I was in a position to lend her her money to pay off her debt. Their divorce decree stated that each of them had to pay me half. Of course they never did that. Fast forward to now. Her current husband died leaving her more than $250,000. Still, she didn’t offer to give me money. Can I legally pursue her?

Sisters with poor pockets

See also: ‘He broke down in tears’: I gave the contractor $100,000, but he used the money to pay off his debt. What are my chances of getting my money back?

“If I were to lend $50,000 to a friend, family member or business partner, I would need a black and white photo of John Hancock.”

MarketWatch Illustration

Dear Sister,

Lending money should never be taken lightly. When lending money to people, especially family members, sign a loan agreement and state the loan amount, how long you want it to be repaid, and how you want to repay it (in installments or instalments). lump sum), whether or not there is collateral, and includes interest and late fees. There are so many, right? Especially for brothers and sisters. But while it reflects the seriousness of the deal, it also serves as a reminder to both parties that it is one that should not be taken lightly. If you’re lending $50,000 to a friend, family member, or business partner, make sure your John Hancocks are black and white.

But can this be seen as evidence that a loan was made to your sister and her ex-husband? John Lambros, an attorney with Brinkley Morgan in Fort Lauderdale, Fla., is conflicted about whether this will help your efforts to get this money back. “A sister who owes money is not a party to the divorce decree,” he says. “So it is highly unlikely, if not impossible, for her to sue for violation of her divorce decree. Assuming there was actually a loan, the divorce decree could be used as evidence to prove that her sister and her husband owe her sister money,” he said.

The situation is messy and complicated considering that the loan agreement says nothing about which party signed it. “Sisters are likely to get better results if they sue through the equitable unjust enrichment route for breach of contract, i.e. formal loans made but not paid, or benefits provided without compensation,” he added. “According to the divorce decree, there is no basis for filing a lawsuit, but it would certainly be helpful to file a lawsuit through the proper channels mentioned.” Lambros practices family law and emphasizes that this will be a civil case outside the scope of family law.

“Based on the information provided, you Present You are liable for your husband’s estate because you owed him no debt from the deceased before his death,” said Kevin Frankel, Partner at LegalShield. For your sister and her ex-husband: “Your potential recourse may include filing a civil suit against your sister for failing to comply with the terms set forth in her divorce decree. “You will need to carefully consider whether there are any statute of limitations issues, and the specific repayment terms set out in the statute will play an important role.”

Randall Kessler, a divorce attorney based in Atlanta, Georgia, was a little more optimistic about your case. “This person should be considered a third-party beneficiary and they will likely have rights and consult a lawyer immediately,” he said. However, I am skeptical as to whether this judgment can be enforced through a court order, given that it is a divorce decree between your sister and her ex-husband. “A contract lawyer can sue over a contract if the parties actually agreed and signed it, even if it is unenforceable by court order. “There are many cases where what a court does not enforce by court order can be enforced separately by contract.”

If you can prove that you gave or lent money to your sister, where is the evidence that she had to pay you the money within a certain period of time and that she agreed to repay you in full? If your sister inherited $250,000, your best chance of seeing this money back from her is to first make your request politely and directly to her and implore her to do her right. And it’s a reminder that you helped her and her then-husband. When you are in a difficult situation and need money. Before turning to lawyers and the courts, try the path of least resistance.

Also comments from Quentin Fottrell:

My mother’s will left the house to her two children and two nephews, but she sold it. Could these nephews be after us for money?

I had no idea something like this could happen to my family until now. ‘: My brother took $200,000 out of his mother’s savings. How can I stop him?

The day my stepfather passed away from brain cancer, he changed his trust and left everything to my sister. Do I have someone to turn to?

If you have any financial or ethical questions, you can email The Moneyist at qfottrell@marketwatch.com and you can follow Quentin Fottrell on X, a platform previously known as Twitter. Moneyist regrets that we are unable to answer questions individually.

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