How do I settle a debt with a disputed total?
I made an informal contract with one of my sons when I was adding on to my house. I would add on space enough so he could have a 1200 sq ft apartment, but he would have to finish it off. He put in a set amount of cash up front for part of the finishing off, and then he agreed to finish off the space with a monthly sweat equity instead of paying rent.
I agreed in the contract to pay back his initial amount if he moved out, and he agreed to the monthly sweat equity (some tiling, painting, trim work). He did move out, but he did absolutely nothing on his sweat equity payments even though he lived there rent free for over two years.
He insists I owe him the full amount he paid in the beginning. I think he owes me for the free months of rent up to what I had to pay to get his sweat equity jobs completed. I hate to spend money on a lawyer, but wonder what my legal options are. He is still insisting I have to pay him every penny, and the second part of the contract does not count. Should I pay him what I think I owe him, or should I hold further payments until we can get an agreement? (I’ve paid him about half already.) I’m in New York State.
There are two choices:
July 4th, 2010 at 10:11 am1) Pay him only what you think you owe him. Let him take you to court if he wishes. If he does that then shame on him. You should cut him out of your will and have nothing further to do with him.
2) Pay him nothing if the question is not resolved. Why give him anything if the dispute is not settled?
I would go with #1 myself. I like to be 100% right in my position.
You can either:
Compromise with him and come up with something you both think is fair – or -
Sue him in Small Claims Court (and he’ll probably counter sue you) and let the judge decide who owes who.
July 4th, 2010 at 10:11 am