The recognition of dept letter is a writing evidencing the debt and the repayment terms. This is a practical and a current tool that can protect your right to collect the debt.
This document, often used for a debt made to an associate, to a friend or even to a relative, confirms that this is a loan with precise modalities and not a gift. That the loan is repayable by instalments, in one payment, with or without interest, this tool is still relevant insofar as it is clear, since it will be impossible for the borrower to change the terms unilaterally.
An other advantage of this document: In general, someone has three years to claim his debt to the borrower. However, a signed recognition of debt interrupt the said extinctive prescription and the delay start to the beginning again (Sections 2898 and 2903 C.c.Q.).
Your lawyer can prepare this form for you, contact us!
