Who can take the blame?

[mclinkin94]

Rhode Island is where i reside.

So what occured is that I bought a business and I have the signed sales agreement saying that $60,000 is due at the time of signing.

So here is what occured, my father decided to write the checks on his name rather than the business checks (I did not want to do this at all, but he insisted on paying because he thinks he owes me for something I did). My father has no relation to the business or the incorporation that owns this business. He wrote HIS personal checks as a donation for me.

The problem is now he cannot pay and he is going to court. Do I have a relation to this?

I cannot pay right now either as the money that I had for the inventory payment for the business has been spent on things ON the business. So they are going to court with my father who wrote chekcs that are for "inventory".

My father is okay in taking the fall and we will see what the resolution is. But is this giong to affect me or my business.

my father's name is not on the sales agreement

So according to the sales agreement, I technically paid for the inventory.

What if the seller tells the court that it is my business that bought the inventory but the checks are in my father's name?

The seller wouldn't have any proof of that though.

 

[Mark Maroon]

So what occured is that I bought a business and I have the signed sales agreement saying that $60,000 is due at the time of signing.

So here is what occured, my father decided to write the checks on his name rather than the business checks. My father has no relation to the business or the incorporation that owns this business. He wrote HIS personal checks.

The problem is now he cannot pay and he is going to court. Do I have a relation to this?

So they are going to court with my father who wrote chekcs that are for "inventory".

my father's name is not on the sales agreement

I tried to snip out less relevant information. Please clarify the following. Was the $60,000 that was due to the company at the time you signed the agreement with them paid by you? In other words, that payment is not in controversy and your status with the company is fine (aside from the issues related to "inventory" that you say was purchased by your father for your business).

If the above is correct, then you are apparently saying that separately from the $60,000 that was paid to the company by you, your father purchased inventory for your company using his personal checks that bounced. Is that correct?

If the above is correct, then it seems to me that they can go after either your father and/or you, depending on how the inventory was purchased. For instance, if the inventory is tied ONLY to your business, and you ordered it and received it, then YOU owe them the money for it (it doesn't matter that you paid for it with a check from your father that bounced). But if basically anyone can order the stuff for any purpose, and your father ordered it and received it and paid for it (with a check that bounced), then HE owes them the money for it. But it could be something in between those "extremes" and thus I suppose they could try to recover from one or both of you.