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Company Loan Type APR Est. Pmt.

lease and mortgage.

Posted on: 18th Sep, 2007 02:43 am
My neighbor loaned from someone for his business for one year and mortgage one of his houses to the debtor. afterward, my neighbor want to utilize his house to lease for earning money. so ,he registerd his house and signed a contract with leasehold company but not told the company the house had been mortgaged. seveal years, my neighbor lose in his business and can't afford to compensate the interest. so ,he decided to sell his house to the debtor. after transfering the property, they went to company and required to release contract with the company.
but, the company rejected to release contract. can my neighbor win the lawsuit?
Hi Liaoyu,

Welcome to the forum.

I think there are very little chances for your neighbor to win the lawsuit as he has not informed the leasehold company about the mortgage earlier.

In this case, the creditor may recover the outstanding balance of the loan from the leasehold company in case the neighbor is unable to pay it off. But, there are chances that the company may ask for money from the neighbor as the latter has not informed them earlier of the mortgage.
Posted on: 18th Sep, 2007 04:20 am
yes, my neighbor can not win the lawsuit, but the creditor can win the the lawsuit from company. so ,this is a 'circular game'. the best method is that my neighbor compensates some money for his breaking the promise. I think it's not all things must be arbitrated in courtroom. there are some reasonable things can be consulted by themselves.
Posted on: 18th Sep, 2007 09:00 am
Yes Liaoyu,

Your neighbor can set the matter himself with the leasehold company. It is always better to come to a mutual understanding with each other.
Posted on: 18th Sep, 2007 09:56 pm
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