Full question:
My grandmother put a CD in my name I think to get money for Senior housing? Anyways she wanted me to pull the money out and I did and gave to her and now she thinks there is another account of hers and there is not..I have stated this and she does not believe me! She says she is going to take legal action? Can She? The account was always in my name only. I did give her a check and she did cash it! Does she even have any legal action to go into my bank records...Nothing was ever in her name?
- Category: Contracts
- Date:
- State: California
Answer:
If the assets were transferred to you to hide them for benefits like housing, it may be considered fraudulent conveyance. This could discourage her from pursuing a claim about the transfer. If she does pursue legal action, the court will examine the evidence, including the account ownership. Since the account is in your name, this will be significant evidence of ownership.
Typically, when someone gives an asset to another temporarily with the expectation of repayment, it is treated as a loan, governed by contract law. Contracts are legally enforceable agreements that create obligations. An oral contract, made verbally, can be enforced but is harder to prove than a written one. Breach of contract occurs when one party fails to fulfill their obligations, leading to potential legal action.
Remedies for breach of contract include money damages, restitution, rescission, reformation, and specific performance. Money damages compensate for losses, while restitution aims to return the injured party to their prior position. Rescission cancels the contract, and reformation changes its terms to correct inequities. Specific performance compels a party to fulfill their contractual duties when monetary damages are inadequate.
Promissory estoppel may apply if one party relied on another's promise, even without an enforceable contract, to prevent unfairness. Detrimental reliance is when someone acts based on a promise and suffers harm as a result. Courts evaluate reliance on a case-by-case basis.
In summary, your grandmother's legal options may be limited since the account is in your name, and you have already provided her with the funds.
This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.