VIC Does Ex Have Grounds for Personal Loan Case?

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Emily1352

Member
3 July 2016
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Hello!

Long story short:

Before my husband and I started dating, his longtime girlfriend (now ex) of quite a few years had been sending him money for support while he was studying overseas. Now, I know my husband and he doesn't have a mind for money- doesn't even think about it. He never asked his ex for money- she took charge and calculated just how much he would need and sent him money about once a week. It all added up to around 20k.

Well, they broke it off, we started dating, and got engaged about 8 months after. As soon as we announced our engagement online, he received a message from her stating that the money was a "loan in good faith." It was if as soon as she knew that they had no future, she decided that the money was a personal loan. (There was never a contract.) Now, she's threatening to take us to court. Does she have a case?

(Additionally, for the years they were together, they pretty much lived together, and shared everything financially.)

Thanks in advance for any answers
 

sammy01

Well-Known Member
27 September 2015
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So you have 2 years after breaking up from a de facto relationship to apply to court. By the sounds of things, that has expired. Also, she would have to establish that it met the definition of de facto and it might not.
 

Emily1352

Member
3 July 2016
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Thank you for your quick reply!

After doing some research, I'm quite sure that they were in a de facto relationship. It hasn't been 2 years yet either. (This upcoming November.) One other thing- I am a US citizen where de facto relationships aren't recognized.

My husband was doing his studies in the US where we met and in a few months he will hopefully have a greencard there. We don't have plans to live in Australia but are currently here visiting. When his ex contacted us, we were in the states. If she takes us to court in this next month before we leave Australia, we will probably have to remain here until the whole ordeal is over. Correct?

This is a multi-faceted situation like any- thank you for any input on what we should do.

Kind Regards
 

Victoria S

Well-Known Member
9 April 2014
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If she is asserting that it is a personal loan, (separate from any family property settlement) she would have to produce evidence that there was an agreement between them that it was to be repaid, the amount of the loan, and how it would be repaid.

If she can't produce something fairly compelling in that regard she can't prove her case. She is required to prove this on the balance of probabilities. I would write back to her telling her stating that it was never a loan, it was a gift and she gave the money to him out of the goodness of her heart and cannot now asset some loan which was never agreed to.

There was no contract. period. This will at least indicate to her that you have basis to fight it and that you intend to dispute it and not get carried along with her nonsense. Be firm straight up.
 

Emily1352

Member
3 July 2016
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Thank you so much Victoria! This was exactly what I was telling my husband from the beginning. Alright sounds good.
 

Rod

Lawyer
LawConnect (LawTap) Verified
27 May 2014
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I agree with Victoria's reply, however, would also point out there is a moral/ethical issue at play here as well. Is it right to accept money on the understanding you will return and start a life with the person sending the money and then not follow through and start that life with the person who helped you?
 

Emily1352

Member
3 July 2016
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Good point Rod. Before he came to America for school, they had equally paid for and shared everything. She was even living with him in his parents house- and they provided meals etc..

I would like to lastly add that she waited 8 months after they had broken up, as soon as we announced our engagement, before she decided that it was a loan. In my eyes, it was gifted money and not a loan. Ah well,

Thanks for your response!