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MShore Law
MShore Law, Attorney
Category: Business Law
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Experience:  Drafted Negotiated and/or Reviewed Thousands of Commercial Agreements
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My attorney has filed a motion to vacate confession of judgement

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My attorney has filed a motion to vacate confession of judgement arguing that my loan is a home equity line of credit and should have not been renewed as a business line of credit. If he succeeds Can my attorney file a motion to the judge to rescind my line of credit business loan since the bank violated the state law by forcing me to renew it only as a business line of credit, despite the fact that all the funds were used to payoff my original home equity line of credit from same bank (All funds from original home equity loan where used for living expenses) And what happens if Judge does rescind the loan? I live in illinois.
Thank you for the post, I am happy to assist you by answering your questions. Yes, if your attorney succeeds in the vacating of the confessed judgment, your attorney can file a motion to rescind the line of credit on the business loan, but this may not be a desirable course of action. Essentially the court would not allow you to keep the money that you accepted as a loan/line of credit as this would amount to unjust enrichment, particularly if you were aware that you were accepting the funds under the auspices of a business loan and represented that the loan was to be for this purpose, but used the proceeds for personal expenses. Also, legally, it may not be a valid conclusion that the bank forced you to renew it as a business line of credit if the bank gave you the option of paying off the loan before renewing it. Please let me know if this answers your question or if you have any follow up questions.
Customer: replied 4 years ago.

Are you there? I sent two other messages and would like answers please. Also what does it mean to rescind the loan even if that happens, just wondering. Would the bank have to reissue the loan as a home line of credit then recall it?

I'm sorry Mohammed, I did not receive your responses. We must be experiencing a technical glitch. Rescind the loan means that the loan is reversed, but I think what you meant to say is what would it be possible to void the loan such that you get to keep the money and not have to repay it. The bank would have to issue the loan as a home line of credit, but not recall it. Please let me know if this does not answer your questions or if you have any follow up questions.
Customer: replied 4 years ago.

I know I can not keep the funds I am hoping this would buy me more time and perhaps reach a settlement where by the bank finally may accept less than what owed and have a brother or a friend payoff the loan.

In two prior messages I explained to you that I did not know that the bank was switching it to a business line and reasons for that are1) I had business accounts at the time and the bank did not want to loose accounts I had with them for 20 years, so they did not ask me to payoff the home equity line2) This way they can insert the confession of judgement which they could not do in a consumer loan.

I repeat ALL of the funds were used when the loan or personal expense

when the line was home equity. I received no funds from the loan after it was switched. All the funds from the business line went back to the bank to pay off my home equity line. I did not see any of that money

Thank you Mohammed, it is a possibility that the bank would negotiate a smaller settlement, but this would be based on your ability to pay as determined by your current earnings and assets. Were you required to sign anything as part of the transition/refinance to a business line?
Customer: replied 4 years ago.

No, I was not and that is why my attorney is filing motion to vacate because bank failed to provide needed documents when a. Business line is offered to consumer.

Thank you, XXXXX XXXXX the bank could be penalized for fraudulent lending practices, and such penalty include forgiveness of the bank loan. Please let me know if this does not answer your questions or if you have any follow up questions.
Customer: replied 4 years ago.

No Thank you very much

I just want to confirm, by "no" you mean that you do not have any follow up questions. Correct?
MShore Law and other Business Law Specialists are ready to help you
Customer: replied 4 years ago.

No follow up questions

Thank you, have a good day.
Customer: replied 4 years ago.

You too