Sturgeon Bay, WI asked in Real Estate Law for Wisconsin

Q: Can a person legally ask for money back that they gave, as a gift, to another. No contracts or promisary notes signed.

Roommate gives partner, not related or married, money via checks, that partner uses, along with partners money, to build a house. Checks were made out to partner and no promissory note or repayment plan agreed to.

Roommate moves out of the house they built but now wants partner to give back all the money that roommate provided.

Partners name is only name on the title. Partner assumed the money was a gift, that they would live forever in the new house. Then the

roommate moved out.

Does roommate have right to get money back from partner? Force partner to sell house? Take out a mortgage to pay roommate? I

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1 Lawyer Answer
Jason Anthony Greller
Jason Anthony Greller
Answered
  • Madison, WI
  • Licensed in Wisconsin

A: It is not uncommon for people to argue about whether money was given in exchange for a promise to repay or whether the money was given as a gift. A promise to repay does not have to be in writing so this becomes an issue of fact to determine at trial (assuming a contesting proceeding ensues).

There is another argument that can be made. The words you use to describe the relationship changes in your question. At first you describe the parties as roommates, then later you describe them as partners. I mention this because it probably gets to the heart of the matter. In Wisconsin there is a doctrine that unmarried cohabitants may enter into a joint venture. While the property may only be titled in one party's name and that party may make all the mortgage payments, the other partner may argue that they paid for all the groceries, all the utilities etc.. The courts may then rule that the untitled partner may have an interest in the property and may seek to recover that interest.

In short, "roommate/partner" may have a right to get money back from the other party.

Thomas B. Burton agrees with this answer

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