Posted by mike mchenry on 7/27/04 2:07pm
Msg #5062

for his Hughness

curious we all have been burned by a ss or two for payment, and i keep hearing of small claims courts action. my question (I'm a certified paralegal here in calif) due to the contractual status that we have with the ss companies wouldn't it also be contractual fraud???? i realize texas law may be different. but i think this type of action would hold a lot more clout than a judgement from small claims court.

Reply by HisHughness on 7/27/04 3:09pm
Msg #5071

Probably not. Simple inability to pay is not fraud. Even refusal to pay, though the ability to pay exists, is not a crime. What makes failure to pay fraud is the pre-existing intent not to pay. Intent, actual or constructive, is always an element of a crime.