Intellectual Property Rights: Practice and Drafting by Adv Gautam Matani. Register Now!
LCI Learning

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

Claim by Money lender , Gift Deed to my Mother

(Querist) 11 September 2009 This query is : Resolved 
My father had executed a debt bond for borrowing 50000 in 1999. My Mother had also signed on it. My Father had been paying interest on it till mid 2003 and paid back the principal in late 2003. He had negotiated to waive of the interest for few months, A friend of my father who had signed as witness did the negotiation and he kept the bond with him without returning it to us. In 2004 the friend along with lender moved a complaint in the police station against us claiming the money was not paid and after some discussions the police station said to move the complaint in court which the lender never did.
My question is,
The bond was last signed in 2003 does it still hold good ?
I am willing to gift a property to my mother.
Can the lender now cause trouble to us because my mother also co-signed in the original bond and the bond is also in his possession with him till now?riven
Raj Kumar Makkad (Expert) 11 September 2009
Because whole proncipal amount has been paid during the last months of 2003 hence no debt remains to be paid. Police has also returned his matter back because the same is a civil matter. In civil matters there is a limitation to file the suit. In money matters it is 3 years from accrual of cause of action to file the suit. This limitation has already expired hence there is no occassion for filing any suit for recovery even qua arrears of interest. renewal of bond has not been made since 2003 hence there is no problem if you gift the same in favour of your mother or any other person.riven
Shivasurya (Expert) 11 September 2009
I agree with Mr. Rajkumar Makkad that the bond is executed by your father and mother was expired in the year 2006 itself if the interest paid till 2003 as per your querry and the validity of the bond is barred by limitation. So you can gift any property to your motherriven
Swami Sadashiva Brahmendra Sar (Expert) 11 September 2009
Learned friends have stated the exact position of Law.riven
A V Vishal (Expert) 11 September 2009
I differ with my learned friends, without knowing the type of bond executed and the terms therein the nature of the claim of the creditor cannot be assessed, further it is not clear if the principal debtor is live or not. As a co-applicant your mother is also equally liable for the debt of your father. Hence advise to visit a local lawyer with all the supporting docs and seek his advise.riven
adv. rajeev ( rajoo ) (Expert) 18 September 2009
Good Morning,
To recover the money limiation period is 3 years, in ur case bond is already expired, money lender cannot claim. If he has already filed a case then u take the defense in your written statement that suit is barred by limitation. U can gift the property to ur mother, offcourse he can trouble ur mother but u have got good defense, apart from this u have to take the defense that he is not regd., money lender as such he has no locus standi to file this suit. If he is regd., money lender he might have taken signs on the requisite forms which are prescribed under the money lending act, because he has to submit those forms to the Asst., registrar of co-op societies( in karnataka it is the procedure0
A. A. JOSE (Expert) 19 September 2009
I endorse view of Mr.Rajee s vadrali.riven

You need to be the querist or approved LAWyersclub expert to take part in this query .

Click here to login now

Similar Resolved Queries :