I drew up a Promissory note with an individual who loaned me some money over a year ago. We are in SC. For collateral, in the event of default, I included the value of a Promissory Note I have with another party. There, however, is no "real" security attached to that note.
I am currently in default and have attempted to rework our note to extend the terms, but the other party wants to get the assignment of the other note.
In our note together the wording states a "dollar for dollar assignment" based on the balance of the note between me and the lending party.
What could be some ultimate outcomes, or other ideas to remedy this situation. Basically, I was borrowing this money on the idea I would be getting my othe note cashed out to repay this loan. My note has not paid out yet, so I am currently in default.
The amount of our note together is $40,000.
Would you have any recommendations from my side, or ideas to try, or legal scenarios if this individual attempted to take action?
Thank you so much for your time and thoughts.

Hello d:

I think the note was deficient. This dollar for dollar stuff ain't going to fly. But since YOU wrote it, the deficiency will go AGAINST you, and the plaintiff would win if he sued you.

I'd try to settle.

excon

It's too late to rewrite the note but this is why there are Attorneys out there.

I'd consult with one now, though.