Vulture Funds

Toby22

hi,

not sure if this is the correct forum, please move accordingly if not.

A friend had a buy to let property, mortgage had been transferred to a Vulture Fund. The mortgage fell into arrears a few years ago. The vulture fund took the property and as my friend had no way of coming up with the outstanding debt, a certain amount was agreed with the Vulture Fund. She is due to inherit some money in the future and is wondering if the Vulture Fund has any claim on this.

thanks for any advice

Peregrinus

Depends entirely on the terms of her agreement with the creditor, I'm afraid.

Toby22

thanks, as far as she is aware it was a final settlement.

Peregrinus

You would need to actually read the contract, rather than rely on terms that were bandied around to describe it. It's quite possible that the creditor did accept a certain sum paid by a certain date in full and final settlement, and expressly renounced all claims to any further sum, but you need to see this written down in black and white.

And — I cannot stress this enough — the settlement is only final if you abide by its terms. If they agree to accept €X, paid by Y date, in full and final settlement, then to be free of further claims you not only have to pay €X, but you have to pay it by Y date. Pay it late, and they can trouser it and then pursue you for more.

(They wouldn't necessarily do this. But you'd need to be aware that they could.)

Donald Trump

It appears to the Judges that by no possibility, a lesser sum can be a satisfaction to the plaintiff for a greater sum: but the gift of a horse, hawk or robe etc in satisfaction is good.

Admittedly. not 100% relevant, but I like that case