Category Archives:Debt Collection

Debt Money Had and Delivered

Collecting Debts owed to Your Debtor

Debts owed to Your Debtor can be Reached in Satisfaction of a Debt – Money Had and Delivered

I am frequently asked whether a third party can be sued for a debt or part of a debt when money has been provided to the third party as part of another transaction.  My answer is sometimes, yes.  In a recent case litigated by Cellai Law Offices, P.C. we were enforcing a Judgment from the Federal District Court, District of New Hampshire against an individual defendant.  In looking at the documents of the underlying transaction (just to be thorough even though there was already a Judgment and because the underlying matter that was handled by a different attorney), it became clear that monies were paid to different third parties (in this case family members).  According to the client, the main contracting debtor claimed that she needed the money sent to her relatives because she did not have access to her bank accounts.  Cellai Law Offices, P.C. sued the additional parties who received the funds under the theory of “money had and received.”  Under the theory of money had and received, if you receive money gratuitously, or which you were not supposed to receive, you are obligated to pay it back.  The Norfolk County Superior Court entered judgment against all of the various family members that received money on the money had and received claims.

Child Support Order Collection

Judgement in 20 Year Old Statute Case

An Action by a Mother for a Decades Old Child Support Order was not Barred by the Statute of Limitations or Laches

Carlo Cellai, Esq. filed an action in 2002 to enforce an approximately twenty two year old child support order. The Defendant-Father-Obligor failed to pay anything under the child support order. 

The Court ruled that non payment of a child support order is not barred by the statute of limitations.  The father was ordered to pay the entire balance of the outstanding child support order plus all accrued interest.

Massachusetts Lawyers Weekly

Passing NSF Checks Constitutes Fraud

Presenting and Passing Non Sufficient Funds Checks Constitutes Fraud

Carlo Cellai, Esq. represented a bank where a bank depositor and former lawyer deposited checks from a different bank into his bank account.  Before the checks had a chance to bounce, the depositor withdrew funds from the empty account, the checks bounced and caused the bank a loss.

In laying the groundwork for a fraud defense to dischargeability in bankruptcy, Carlo Cellai, Esq. prosecuted the case on behalf of the bank on the ground that the depositors conduct amount to fraud.

The Judge agreed with Attorney Cellai’s position on behalf of the bank and ruled that the depositor had perpetrated a fraud on the bank.  As a result of the creative legal theory, Attorney Cellai set the ground work for a dischargeability claim against the depositor had the depositor filed bankruptcy.

Massachusetts Lawyers Weekly