Indemnification Agreement
I negotiated a settlement with my business partner and left a business 18 months ago. But, the landlord would not release me from my personal obligation on the property rental lease for the business. My partner personally indemnified me from any debts or obligations of the business including this lease. After several months, the landlord contacted me and we I negotiated a sum of $19,000 to remove me from the original lease and any furture obligations to him. What can I do to recover this money from my ex-business partner who is in breach of the rental lease and failed to follow the indemnification contract?
Re: Indemnification Agreement
The answer depends on what the $19,000 to the landlord was for. If it was simply a voluntary payment to let you off the hook in case your former partner defaulted, you probably have no recourse against the partner. If it was a settlement after a claim against your partner matured, you can probably get a judgment for what you paid. Whether or not you get paid depends on whether your partner has any assets. To tell for sure, I would need to read the contracts.
See also: http://info.corbettlaw.net/lawguru.htm
John Corbett
Corbett Law Firm LLC
303 Walnut Ave.
Evesham, NJ 08053-7016