The Following update to section VIII. has been made by the Jury and the Judges.
This will be the new standards for loans that all who are giving out loans need to follow if they with to have a chance at court.
Please post questions if you have any.
VIII. Loaning Part I: Guidelines 1. The Borrower must have been a Citizen of Liberty City for no less than a month;
2. The Loan maximum interest rate is set at 20 percent per month;
3. The contract validity will be evaluated by the court.
A valid contract must contain, but is not limited to the following points:
- a. Name of the Lender, including its nature (individual Citizen, group of Citizens or Society/Company);
- b. Name of the Borrower, including its nature (individual Citizen, group of Citizens or Society/Company);
- c. Date of the Borrower’s acquisition of the Liberty City Citizenship (of the representative for the loan in case of
group of Citizens or Society/Company); - d. Exact date and time of the Loan signature (screenshot of /time with the in-game signature);
- e. Loan sum in AR$;
- f. Sum to be payed back on the Loan restitution date in AR$;
- g. Interest rate in percentage points per month (%/month);
- h. Exact date and time of the Loan restitution;
- i. List of the assets (movable and immovable properties) owned by the Borrower (optional);
- j. Lender’s acknowledgment of the Borrower’s current assets (only if 3.i is applied);
- k. Borrower’s declaration regarding the ability to pay the restitution sum on the agreed time;
- l. Signatures of all parties.
If the contract lacks one or more of the above points, it can still be considered as valid by the Court, based on
all the other evidences submitted.
Part II: Failure to repay the Loan1. If the Borrower fails to repay the Loan, the Lender has the right to open a People’s Court Case against the
Borrower;
2. If the Borrower can’t repay the Loan or when their assets can only cover a partial repayment and the Lender
opened a People’s Court Case, the Court Judge and/or Court Jury can:
a. Issue a reimbursement for the benefit of the Lender, depending on:
- i. The validity of the Loan;
- ii. The level of negligence showed by the Lender during the precautionary checks on the Borrower;
b. Encourage and establish a restitution agreement between the parties;
3. If the Borrower refuses to repay the Loan even though their assets can cover a full repayment and the Lender
opened a People’s Court Case, the Court Judge and/or Court Jury can:
a. Order the seizure of part of the Borrower’s assets and turn them over to the Lender in their current form or
after an auction, depending on:
- i. The validity of the Loan;
- ii. The level of negligence showed by the Lender during the precautionary checks on the Borrower;
b. Encourage and establish a restitution agreement between the parties.
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