[J.Celifarco]

The lack of legal knowledge here is overwhelming, but not surprising...seeing as how even someone without a high school degree can work at a sleazy firm and dial UCCs/backdoor. But a counter-signed agreement doesn't have a huge bearing on legal protection...but thanks for trying to provide legal advice (although wrong).

Having a countersigned agreement doesn't matter? I dont claim to be a legal expert but I believe that if my copy only has my signature then the Funder has to hold me to my covenants but in turn can do anything they want because I have none of the protections afforded me in the iso agreement. I could be wrong but I really don't think I am.

[loan]

Having a countersigned agreement doesn't matter? I dont claim to be a legal expert but I believe that if my copy only has my signature then the Funder has to hold me to my covenants but in turn can do anything they want because I have none of the protections afforded me in the iso agreement. I could be wrong but I really don't think I am.

You are wrong, but at least you have the ability to acknowledge it.

[mistamca]

This does not seem right. I have never operated on an agreement that is not countersigned but I can't imagine that this can be a legal strategy. You could literally promise anything in a contract & then not sign your end. I don't see that happening. When a MCA contract is signed, it is rarely countersigned & sent back to the merchant. If there is a legal issue, then the funder is going to sign it & then submit it to the lawyer. I really doubt that funders are submitting future purchase agreements, without them signing them, to the courts.

When you control the money (Funder & Commission), you control the conversation. If there is not a countersigned agreement, then what governs the relationship? Nothing. Who benefits from this? The one that controls the money.

[loan]

This does not seem right. I have never operated on an agreement that is not countersigned but I can't imagine that this can be a legal strategy. You could literally promise anything in a contract & then not sign your end. I don't see that happening. When a MCA contract is signed, it is rarely countersigned & sent back to the merchant. If there is a legal issue, then the funder is going to sign it & then submit it to the lawyer. I really doubt that funders are submitting future purchase agreements, without them signing them, to the courts.

When you control the money (Funder & Commission), you control the conversation. If there is not a countersigned agreement, then what governs the relationship? Nothing. Who benefits from this? The one that controls the money.

Nice story there buddy. But you're forgetting one thing - there are state laws that govern commercial transaction. A funder can write whatever the f*** they want (and most high-risk funders just copy off of others), but if it violates the law, there is a case. For example, if you agree to mow someone's lawn and get paid, and they don't pay you (and no contract was signed), does that mean you can't sue them? Hell no. You can.

The legal system is complex, and I shouldn't have expected MCA brokers/funders that can barely string a coherent sentence together or construct a logical argument with ffacts to actually provide useful advice. But anyway, some people just accept backdooring.

And regarding the "stress and aggravation", there shouldn't be any. If this stresses you out the MCA industry is not for you. Anyway, glad this at least sparked a conversation to make people think.

[DonMcGrath]

Nice story there buddy. But you're forgetting one thing - there are state laws that govern commercial transaction. A funder can write whatever the f*** they want (and most high-risk funders just copy off of others), but if it violates the law, there is a case. For example, if you agree to mow someone's lawn and get paid, and they don't pay you (and no contract was signed), does that mean you can't sue them? Hell no. You can.

The legal system is complex, and I shouldn't have expected MCA brokers/funders that can barely string a coherent sentence together or construct a logical argument with ffacts to actually provide useful advice. But anyway, some people just accept backdooring.

And regarding the "stress and aggravation", there shouldn't be any. If this stresses you out the MCA industry is not for you. Anyway, glad this at least sparked a conversation to make people think.

So just to dig a little bit (Lord knows I dig enough with this community service beach work), if I mow your lawn and you don’t pay me, and no one saw me mow the lawn, and you say we had no agreement and you never told me to mow, and there’s no signed contract, yeah I can sue (anyone and their momma can sue anyone), but how would I win, and justify the money I spent on legal counsel?

At www.dumbleads.com, we justify our legal expenses by thinking about what merchants would do if they figured out how we gently coerce them to sign funding contracts with visits to their favorite restaurant.