Does an email IOU refresh the statute of limitation?

[chip1010]

A family member owed me $15k originally on a handshake, starting approximately 9/8/05. He was a trusted business mentor, and I guess I got my first lesson in business. He made erratic payments until he was down to $7k when he stopped. I have an email chain documenting his promises to pay from '06 to '09, with occasional mentions of his intermittent payments.

On 9/21/09 I eventually convinced him to email an IOU stating:

Please accept this as an IOU for $7 K

Thank You [name]

Question: Does having an email IOU reset or replace the statute of limitations? Are they admissible in small claims?

Second Question: Can it be argued that there are now two actionable debts involved? Not to be greedy, but strategically can he be backed into a corner of having to admit they are one in the same, thus admitting a valid debt, so he is not potentially obligated for both?

I'm certain there exists at least the implication that they are one in the same vis a vis the email chain that we can both produce, but hypothetically could he be obligated for two separate debts? I'll not ask for separate judgements, just curious.

Lastly, does the simple IOU, quoted in its entirety above, constitute an actionable contract or agreement? There is no date or recourse mentioned, etc.

 

[army judge]

You're overthinking this.

Do you think an email us admissible in a real court if law, just because Judge Mathis or Jusge Judy acknowledge them?

Think again?

Have you even Googled the SOL in California for contract debts?





According to California Code of Civil Procedure § 337, the statute of limitations for debt related to a written contract is four years, and an oral contract is two years from the date of breach. www.bills.com resource Collection Laws
and the Statute of Limitations for the rules in other states.

If you determine that your state's SOL for the collection of debts has expired, the likelihood of you the creditor attempting to sue to enforce the debt is much less. The fact that the creditor filed a suit indicates either the
creditor believes the SOL has not expired, or the creditor believes -- the defendant -- will not raise the statute of limitations defense.

The passing of the SOL does not mean that you, the creditor, cannot sue. If a lawsuit is filed, the defendant will have an absolute defense against the lawsuit if the defendant raises the SOL defense in a timely manner.

The defendant must raise this defense -- a court will not do it for the defendant. If the defendant responds to the suit stating the SOL has expired, the judge willdismiss your case.


In most states, the SOL begins running from the date of the breech. In other words, the SOL starts running 30 days after the last payment.

This means that if he paid just a few dollars to you a couple of years ago, the running SOL for that debt could have been reset.

Many people try to get their mark to send $10, $20, anything, even a $1.00 just to help the debtor out. If the mark does that, the SOL starts again!!


The passage of the SOL does not forbid a creditor from calling the debtor to collect on the debt; it simply provides the debtor an absolute defense in court if the creditor files suit. Debtors can stop collection calls by sending a cease and desist letter to the creditor.

Consult with an attorney licensed to practice in your area to discuss the specifics of your situation and to help you determine if the statute of limitations for you, the creditor, to sue you has expired.

 

[chip1010]

Stand down. Patronizing me is not helpful at all. Of course I Googled SOL. Do you think I would be here asking if I knew? Thanks for answering the one part of the post I obviously already know. Now then, for the actual questions I have, are email communications valid ratifications of debt agreements, and does the IOU constitute a new enforceable agreement as is?

 

[mightymoose]

Only payment toward the debt would restart the clock. The email means nothing. Had you obtained the same in writing then you MIGHT have something to work with, but it would depend on how it was worded. Obtaining written acknowledgement of the debt is likely very rare.

What was the last date of payment?
It seems you are beyond the two year mark, but if you are within 4 years you might be able to dupe him into thinking you have 4 and he may not raise the SOL defense.
Also, if you sue and he fails to appear you will get a default judgment regardless.