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If Joe borrows money from his friend John (without any promise

 
 
 

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If Joe borrows money from his friend John (without any promise of high return) to pay debt owed to another friend Sam, it is legal. Right? Does it make any difference whether Joe tells John that the money will be used to pay a debt owed to another person or not? This is not the same as "robbing Peter to pay Paul". Right? Thank you very much!Customer

Submitted: 1006 days and 12 hours ago.
Category: Legal
Status: CLOSED
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Accepted Answer

A party who takes out a loan with no restrictions on the use of the funds may use those funds for any purpose. Yes, this is permissible.

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Expert: Justice4U
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Answered: 8/21/2009

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Real Estate, Landlord and Tenant, Family Law, Consumer Rights, Nursing Home, Business Law

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1006 days and 11 hours ago.

Customer Reply

Does the situation I described have any relevance to the Ponzi Scheme or Robbing Peter to Pay Paul scheme, or any other similar schemes please?

 
 
 
 
 
 
Posted by Justice4U 1006 days and 11 hours ago.

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