Legal Question in Business Law in Texas

company I invested refuse to payback note
In Dec 2006, I invested $30k in a callable convertible note of a small company (a Nevada corp), due to mature in Dec 2007. At maturity date, I have the option to convert the note into company stock. Otherwise, the company should pay back my money with interest.

During 2007, the company went public on pink sheet list. But the stock price was very low in Dec 2007. I actually bought some stocks of this company at the lower price.
When the company asked me to convert after maturity date, I replied in email saying that I want to defer the decision for a month or so.
Then around May this year, I emailed twice and also sent a certified letter declining the conversion and demand to have my money back with interest. The company responded with a letter saying the they cannot pay me back at that time.
Recently, I have talked over the phone with the CEO several times. He just ask me to wait one more month, and said the situation will become better. But he refused to promise me a pay back schedule.
Most of the investors with same note did convert into the company stock. Only several people did not convert. Also the company should have enough money to pay back my money right now. But the situation could get worse.
What should i do now?

Asked on 9/14/08, 12:58 pm

James Grissom Law Office of James P. Grissom

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Re: company I invested refuse to payback note

Wait for more time, listen to more excuses -- or sue to collect right now. Good Luck. If you want my assistance in this matter contact me by email.

Answered on 9/14/08, 2:08 pm

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