Re: Responsibility for a loan repaid by someone else?
You probably need to provide more facts to provide definitive answer. But, as a general rule, once a note has been paid and satisfied, that note cannot be collected BY THE LENDER as against any of those who signed the note.
However, when more than one person are responsible for payment of a note, there may be circumstances where one party pays the whole note in full (or more than their "fair share") and then sues the other signing parties for "contribution" and/or "indemnification".
Such suit would not be for the entire amount of the debt generally, but would only be to recover the "fair share" that the defendant should have paid.
You have not provided facts that would enable any determition as to whether such claims could be sustained in your circumstances. Please feel free to contact me at the number and address below if you would like to make arrangements to discuss further and provide more facts.
Lawrence R. Holzman, Esquire
Joseph, Greenwald & Laake, P.A.
6404 Ivy Lane, Suite 400
Greenbelt, MD 20770
(301) 220-2200
fax (301) 220-1214
Disclaimer: Please note that the posting of this response is not intended to constitute legal advice. You should contact an attorney to obtain information applicable to your situation. This posting is not confidential or privileged and does not create an attorney/client relationship.
