A matter recently came across my desk and it highlights why – even in the simplest legal matters – it is the smart to hire a lawyer.
Twenty years ago a guy lends a significant amount of money to a “friend.” A promissory note is signed. Within the note, the friend offers collateral of his partnership interest in two very valuable commercial buildings in Omaha.
The problem? The lender didn’t perfect his security interest in the collateral.
Result? Debtor sells his partnership interest in the two buildings and lender doesn’t get paid. The note remains unpaid to this day.
If the creditor had perfected his security interest, he would have been paid as the buyer of the partnership interest would have had to pay.
A few bucks spent up front would have created great value for the lender. That’s the lawyer’s value proposition.
