Debt collection
Promissory note alleged to be forged: $400K not collected
A $400K promissory note appeared to have everything needed for collection: signature, maturity and protest. The defence focused on the authenticity of the signature and the chain of endorsements.
The dispute
Collection was filed through monetary proceedings, which allow little initial argument. The defence had to introduce doubt about the instrument without turning the matter into a long trial.
What was at stake
$400K and the difference between objecting to an instrument and disputing the transaction behind it.
The strategy
Expert evidence on the signature was requested, the chain of endorsements was reviewed and it was established that the instrument had not circulated according to its terms. The objection was raised at the correct procedural stage.
The outcome
Collection of the promissory note was prevented.
In collection, the procedural stage matters as much as the argument: an objection filed late no longer saves the case.