[WSBARP] Statute of Limitations on a Note and DOT

[Mark Higgins]

Borrower signed a document in front of a notary saying he would pay lender
17,500 by 11/10/2012.  There was a default, so a 6 yr sol to 2018.  Debt is
17,500.

On Nov 3, 2016 12:41 PM, "Eric Nelsen" <Eric at sayrelawoffices.com> wrote:

> Re-posting this, since 4:30 PM was a lousy time to send it around the
> first time. Any opinions or thoughts much appreciated--
>
>
>
> Sincerely,
>
>
>
> Eric
>
>
>
> Eric C. Nelsen
>
> SAYRE LAW OFFICES, PLLC
>
> 1417 31st Ave South
>
> Seattle WA  98144-3909
>
> phone 206-625-0092
>
> fax 206-625-9040
>
>
>
> *Please Note that We Have Moved.* We have moved our Seattle office to
> Mount Baker Ridge (a small commercial community just above the I-90
> tunnel). *Our new address is 1417 31st Avenue South, Seattle WA 98144. *All
> other contact information remains the same.
>
>
>
> *From:* wsbarp-bounces at lists.wsbarppt.com [mailto:wsbarp-bounces at lists.
> wsbarppt.com] *On Behalf Of *Eric Nelsen
> *Sent:* Wednesday, November 02, 2016 4:18 PM
> *To:* WSBA Real Property listserve (wsbarp at lists.wsbarppt.com)
> *Subject:* [WSBARP] Statute of Limitations on a Note and DOT
>
>
>
> I love pro se legal documents. Here's a fancy one, law school exam,
> multiple-choice:
>
>
>
> FACTS:
>
>
>
> *Promissory Note* signed for a loan of *$10,000*, dated *July 1, 2006*,
> no installments, no due date, *16.5% interest* "starting August 1, 2007
> to February 1, 2008", no mention of security. Straight demand note--just a
> promise to repay. 6-year statute of limitations, BUT:
>
>
>
> Lender gives an additional *$5,000* on *November 1, 2010*, *no* Note
> signed, but has Borrower sign a *Deed of Trust* saying:
>
> "This Deed of Trust is for the purpose of securing performance of each
> agreement of Grantor contained in this Deed of Trust, and payment of the
> sum of *$17,500* in accordance with the terms of a promissory note *of
> even date herewith*."
>
> AND
>
> "The entire balance of the promissory note secured by this Deed of Trust
> shall be due and payable in full on *November 10, 2012*."
>
>
>
> These are commercial/business loans, not personal/consumer loans.
>
>
>
> Lender asserts that the inflated total of $17,500, as opposed to the
> principal total of $15,000, is to "add agreed interest." But Borrower is
> dead, so dead man's statute applies and all this must be interpreted by the
> written documentation--Lender can't testify as to "adding agreed interest."
>
>
>
> What is the statute of limitations as to the *$10,000 Note*?
>
> (A) July 1, 2012, because execution of the Deed of Trust mentioning
> $15,000 does *not* reaffirm that debt because it is not a Note of "even
> date"?
>
> (B) November 1, 2016, because the Deed of Trust *did* reaffirm the Note,
> and the discrepancies in "even date" and in interest do not affect parties'
> intent?
>
> (C) November 10, 2018, because the due on sale clause is incorporated into
> the Note?
>
>
>
> What is the statute of limitations as to the *$5,000* loaned without any
> Note?
>
> (A) November 1, 2013, because it is an oral promise to repay?
>
> (B) November 1, 2016, because the Deed of Trust is sufficient writing to
> bring this loan under the written contract statute of limitations?
>
> (C) November 10, 2018, because the due on sale clause relates to this
> loan, even though it claims to be for $17,500 rather than $5,000?
>
>
>
> Anyone have some thoughts? Input and off-the-cuff opinions all appreciated.
>
>
>
> Sincerely,
>
>
>
> Eric
>
>
>
> Eric C. Nelsen
>
> SAYRE LAW OFFICES, PLLC
>
> 1417 31st Ave South
>
> Seattle WA  98144-3909
>
> phone 206-625-0092
>
> fax 206-625-9040
>
>
>
> *Please Note that We Have Moved.* We have moved our Seattle office to
> Mount Baker Ridge (a small commercial community just above the I-90
> tunnel). *Our new address is 1417 31st Avenue South, Seattle WA 98144. *All
> other contact information remains the same.
>
>
>
> _______________________________________________
> WSBARP mailing list
> WSBARP at lists.wsbarppt.com
> http://mailman.fsr.com/mailman/listinfo/wsbarp
>
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