Bad Loans

[Wolfie]

A friend of mine is in a little bit of a situation and has asked for my help.

A small personal loan was made to a thai national to help out with a small business problem, nothing was documented (except the actual money transfer itself) and the figure in question was small by European standards. Now the businessman in question is refusing to repay the moneis as per the original agreement.

I've been asked what recourse he has to try and get this money back, and having never been in this situation i couldnt really give him any solid advice, so i thought i'd throw this one out to the part time legal eagles on the board and see what happens.

Personally i think hes screwed, but maybe one of you have had a similar experience or could offer some sensible advice

[Tywais]

In the US a verbal agreement is a legally binding agreement, I've used it in one case and recovered my money. Of course this is Thailand and do not know if the same applies. One possibility is to have your friend inform the businessman that he is going to contact a lawyer to see about taking it to court. The businessman may back down due to not wanting his business effected because of a legal dispute (reputation and all). If he doesn't then contacting a lawyer to see if he has any options is the next step. I suspect a consultation fee would not be that much.

[chuchok]

In the US a verbal agreement is a legally binding agreement, I've used it in one case and recovered my money. Of course this is Thailand and do not know if the same applies. One possibility is to have your friend inform the businessman that he is going to contact a lawyer to see about taking it to court. The businessman may back down due to not wanting his business effected because of a legal dispute (reputation and all). If he doesn't then contacting a lawyer to see if he has any options is the next step. I suspect a consultation fee would not be that much.

A friend of mine did something similar.He contaced a high-power Lawyer who wrote to the party telling them that they would drag his good name through the courts etc untill all the face he had left would be the one he looked at in the mirror.(or words to that effect )It worked.

Maybe it won't work all the time, but it's worth a shot.

[Upcountry]

I've heard it said, never lend money to a friend, and when you do only "lend" what you cand afford to lose. That is, think if it as a gift. If you get it back, it is a bonus.

This business man's 'friend' may have planned to cheat his farang benefactor, this being Thailand.

Anyone hear about the American, Mr. M(onson) who has filed criminal charges against Mr. Thug over mistreatment back in the eighties? Bet that story doesn't see the light of day in the Thai language press. See page 3 pf BP May 4 (actual paper, because the AP story is not available in the on-line edition). You can find the story on the internet if you search.

Well, that's an extreme example. I hope court action will lead to recovery of Wolfie's friend's funds.

[Thaipwriter]

A friend of mine is in a little bit of a situation and has asked for my help.

A small personal loan was made to a thai national to help out with a small business problem, nothing was documented (except the actual money transfer itself) and the figure in question was small by European standards. Now the businessman in question is refusing to repay the moneis as per the original agreement.

I've been asked what recourse he has to try and get this money back, and having never been in this situation i couldnt really give him any solid advice, so i thought i'd throw this one out to the part time legal eagles on the board and see what happens.

Personally i think hes screwed, but maybe one of you have had a similar experience or could offer some sensible advice

I am anxiousy waiting for a Thai national to ask me to borrow money.

I have plans to agree to help enthusiastically and to then drive them to the nearest open bank.

[kudroz]

A friend of mine did something similar.He contaced a high-power Lawyer who wrote to the party telling them that they would drag his good name through the courts etc untill all the face he had left would be the one he looked at in the mirror.(or words to that effect )It worked.

haha can't stop laughing. This has made my day

[GuestHouse]

Let it go and chalk it up to experience.

A Thai who owes you money that you will never see is an annoyance. A Thai who is p1ssed off with you for ruinging his good name might well be extremely dangerous.

[lopburi3]

I agree with GuestHouse - not worth the potential problems. But from my reading you do not say the person has not agreed to pay the money back - only that "as per original agreement". If that is the case I would accept whatever I could get, in whatever timeframe that might be, and keep everyone happy. As we live life we pay for our mistakes. He should be happy this was only a small payment.

[Sir Burr]

I was taught that a verbal agreement isn't worth the paper it's written on.

[Dragonman]

I was taught that a verbal agreement isn't worth the paper it's written on.

I have actually been successful in a few verbal contract cases. But you wouldn't be in Thailand, as the Law does not exist! There are rules for loan contracts, but if you are Thai you can totally ignore them.