Friend used my money instead of investing it

[Buckeye911]

I am from Ohio and my friend does some investing as a side business. I gave them $4,000 to use to invest on my behalf since I don't have any investing skill, however, I asked for my money back due to some financial problems and she told me that she used it all. Apparently, she believed it was a gift, but I never told her that. She even promised that she will invest that money. Is this enough for a small claims court?

 

[HRZ]

ITs an invitation to do some more homework first...
Is she a registered investment advisor ?
Does she provide investment advice or services to more than 5 people ?
Thinking it was a gift makes no legal sense ...many states provide that the transfer of money to a non relative is presumed to be a loan . I don't know what applies in OH...you dig.

IF transferred funds to an unlicensed representative who poceded to convert the funds to to her personal use I'd be trying to sort out if theft of theft byndeception applies .

You may be a candidate for the dumb award of the week .
But she may deserve a short term in county to rethink her business operations .

 

[eerelations]

If you can prove that she promised to invest the money and that she would return your investment anytime that you asked for it, then you should be good to go to small claims court. "Proof" would be either a written contract/agreement that you both signed at the time you gave her the $4,000 (best proof) or at least a witness who saw and heard you make a verbal agreement with her (not best proof, might depend on how well said witness presents him/herself in court).

 

[eerelations]

ITs an invitation to do some more homework first...
Is she a registered investment advisor ?
Does she provide investment advice or services to more than 5 people ?
Thinking it was a gift makes no legal sense ...many states provide that the transfer of money to a non relative is presumed to be a loan . I don't know what applies in OH...you dig.

IF transferred funds to an unlicensed representative who poceded to convert the funds to to her personal use I'd be trying to sort out if theft of theft byndeception applies .

You may be a candidate for the dumb award of the week .
But she may deserve a short term in county to rethink her business operations .

You are overreaching again.

 

[Just Blue]

I am from Ohio and my friend does some investing as a side business. I gave them $4,000 to use to invest on my behalf since I don't have any investing skill, however, I asked for my money back due to some financial problems and she told me that she used it all. Apparently, she believed it was a gift, but I never told her that. She even promised that she will invest that money. Is this enough for a small claims court?

How long after you gave her the money did you ask for it back?

 

[quincy]

I am from Ohio and my friend does some investing as a side business. I gave them $4,000 to use to invest on my behalf since I don't have any investing skill, however, I asked for my money back due to some financial problems and she told me that she used it all. Apparently, she believed it was a gift, but I never told her that. She even promised that she will invest that money. Is this enough for a small claims court?

What evidence do you have to support that you gave the friend $4000 to invest on your behalf?

 

[Buckeye911]

I know many friends who do their own investments and have done very with it. This was one of them who I have known for many years. I have all the conversation saved via text about the investment. I asked for the money back after about 4 months. She even told me which stocks she invested into. Would I need a receipt from her about the stocks she invested in?

 

[quincy]

I know many friends who do their own investments and have done very with it. This was one of them who I have known for many years. I have all the conversation saved via text about the investment. I asked for the money back after about 4 months. She even told me which stocks she invested into. Would I need a receipt from her about the stocks she invested in?

Did you explain to your friend that you wanted a very short term investment? Did your friend explain to you what stock investing was all about?

She may not have all of your cash for you - or, depending on the investment, any of the cash.

 

[HRZ]

IF she stated she invested your funds In q, r, h, & v then direct her in writing to sell out those positions and return the funds to you ?

The current market DJIA is roughly a modest 1000 points above where it was end of June 2018, 24 ,271 ., that might be a rough benchmark as to your expectations of small gain.

 

[quincy]

... I asked for the money back after about 4 months. She even told me which stocks she invested into. Would I need a receipt from her about the stocks she invested in?

The stocks your friend invested in for you is important information that you need to know if you are demanding a return of your money. You need to know how these stocks have performed.

I see some problems with your small claims suit if you are expecting your full $4000 back.

 

[Just Blue]

The stocks your friend invested in for you is important information that you need to know if you are demanding a return of your money. You need to know how these stocks have performed.

I see some problems with your small claims suit if you are expecting your full $4000 back.

Yes. Investments don't always pay off. OP *could* have made 1,000,000.00 or lost 3,952.48.

 

[quincy]

Yes. Investments don't always pay off. OP *could* have made 1,000,000.00 or lost 3,952.48.

Trying to bank on positive stock performance can be tricky. What has happened with the stocks over the last four months can tell Buckeye whether there is any money left worth suing over.

I don't know of any $4000 investment that would have resulted in a $1,000,000 gain over 4 months, though. The loss is far more likely.

 

[Just Blue]

Trying to bank on positive stock performance can be tricky. What has happened with the stocks over the last four months can tell Buckeye whether there is any money left worth suing over.

I don't know of any $4000 investment that would have resulted in a $1,000,000 gain over 4 months, though. The loss is far more likely.

lol...I was being optimistically extreme.

 

[quincy]

lol...I was being optimistically extreme.

I understood that.

If a $4000 investment could result in a million dollar gain in 4 months, I think we would all be looking to invest through Buckeye's friend. Haha.

 

[HRZ]

A set of random small investments in the US stock market would likely a SMALL increase over the last 4 month's.