Can someone sue you for giving a money gift with no contingencies?

Question

I helped my cousin by paying her mortgage for five months while she tried to sell her house. She was going to lose her house because she quit her job and was not able to find another one.I asked her if she would help me with buying a house if she was able to sell her house -she said yes.She sold her house for 200k and she gave me a gift of 12k for my home purchase and paid back the additional money I paid on her mortgage. It was never stated that I had to pay back the gift,even though I did plan on doing that anyway -but I never told her that. She said that she was going to move out of state and I told her that she could stay with me until she did.I paid her storage fees because she had no job and she did not want to use her moving money.Things did not work out apparently she did not feel comfortable living with me so I told her that she did not have to stay with me if she was not comfortable - so she moved out. I stop paying her storage fees.Now she threatens to sue me for the gift of 12k she gave me as a gift.The check states "gift".

and now she is coming up with a list of contingencies upon me having the 12k that were never discussed before nothing in writing or verbally.

What should I do? I have not even been able to use the money for what it was intended for.

Answer 1

A gift is a gift.  A court will not enforce an "un-gift" request.

Cousin will have a hard time convincing a judge that the $12K was a loan if cousin wrote "gift" on the check.

Answer 2

when you give a gift, there are no strings attached, and if there are, it's no longer a gift, it's a loan.

Answer 3

Keep your copy of the check in case you go to court.

Answer 4

Talk to a lawyer.

Other people's unqualified opinions could cost you more than your own already have.

Prior to your talking to one, you might want to sit down and make three lists:

One w/ money you put out on your cousin's behalf & approx dates

Another w/ money she put out on your behalf & approx dates

And a third, listing both.

Actually, if you and she can come to terms (agree) mon these numbers prior to getting lawyers, which will probably cost you both a lot more, perhaps you can come to some agreement as to how much you owe her and what might be workable terms for you both, insofar as reimbursement is concerned.

Contracts w/o paper, which is what it sounds like you two had together, twice, can be messy.

A judge can decide whatever the heck they feel, whether or not it suits or benefits either of you.

If the relationship between you and your cousin means anything to either one of you, try to work it out.

Good Luck.

Answer 5

She has no contract to enforce.  It appears that she considered the gift to be a gift.  Threats may be all she can do at this point.  I know of no theory that would support her position in court.

However, you say that you planned on repaying her, even though you did not tell her you would.  Why no go ahead and repay her, less the money that you spent on her behalf for storage etc.?  Ethically, paying her back seems the higher ground.