Legality of Verbal Agreements and Wire Transfer Screenshots: Can You Formally Require Repayment? A Question-and-Answer Guide on Philippine Law
Question: I lent money to a friend with only verbal guarantees for repayment. I have screenshots of the wire transfer and our conversations. Can I pursue legal action to require her to pay me back?
Answer:
Lending money based on trust, especially without any written agreement, can lead to difficult situations when the borrower fails to pay back. Under Philippine law, the issue touches upon both civil and criminal aspects. Let's break down what your options might be.
Is a Verbal Agreement Legally Binding?
In the Philippines, oral agreements are generally considered binding unless the law specifically requires a written form for that type of agreement. The challenge, however, is proving the existence of such an agreement and its terms.
Can Screenshots Be Used as Evidence?
In recent years, electronic evidence like screenshots of text conversations and wire transfer confirmations have become increasingly accepted in Philippine courts, albeit with some scrutiny for authenticity. This means your wire transfer screenshots and saved conversations could be useful if you were to take legal action to recover the money.
What Legal Actions Can Be Taken?
Demand Letter: Before jumping to legal proceedings, it's common practice to send a formal demand letter to the borrower outlining the amount owed, any agreed-upon interest, and a deadline for repayment. This not only provides an opportunity for amicable settlement but also serves as additional evidence of the debt if you proceed to court.
Civil Case: You can file a civil case to recover the money. You would need to prove the existence of the debt, the agreed terms of repayment, and that the debtor has defaulted on their obligation. The wire transfer screenshots and saved conversations would be your primary evidence here.
Criminal Case: The Revised Penal Code of the Philippines provides for criminal liability under "Estafa" for failure to return borrowed money under certain conditions. However, because there was no written agreement or post-dated checks involved, pursuing a criminal case might be more challenging.
Small Claims: Since the amount is 170,000.00 PHP, you could also consider filing a small claims case, which is a simpler and quicker process designed for disputes involving "money claims" that do not exceed 1,000,000.00 PHP.
Conclusion
While the lack of a written agreement makes your case more complicated, you still have avenues for legal action under Philippine law. You can use your electronic evidence, like wire transfer screenshots and text conversations, to substantiate your claim. However, as these situations can be intricate and potentially contentious, consulting with a lawyer for a comprehensive understanding of your options is advised.
Disclaimer: This article is intended for informational purposes only and should not be construed as legal advice. Consult a legal expert for advice specific to your situation.