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I would not have to pay anything because I was not involved in this agreement. The easy part of this question is, yes, as long as it was not a gift or strongly appeard to be a gift. Hopefully it was less then 5k as well, because most small courts only go up to 5-10k in money value. The hard part is proving that money was loaned if there is not contract. Also if you loaned the money "usually" three years ago or more and made no attempt in getting this money back you might be out of luck as well
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