Mistaken wire transfer/payment error
in Banking, Insurance & Loans ·
Look, I’m no lawyer, but if you look at the American Civil Code—specifically the sections regarding unjust enrichment—it should pretty much cover your situation (which is exactly where Vojky disappears when things get real 😉).
Section 1111.
General Rule
(1) If any part of one person's property is transferred to another through any means without being based on a valid legal contract, court order, government authority, or specific law, the recipient is obligated to return it. If returning the actual property isn't possible, they have to compensate for its value.
(2) "Transfer of property" also includes gaining a benefit through a specific action.
(3) The obligation to return property or compensate for its value also applies if something was received based on a premise that failed to materialize or was later invalidated.
Section 1112.
When recovery cannot be demanded
(1) Anyone who makes a payment knowing they aren't actually obligated to pay loses the right to demand it back—unless they specifically reserved the right to reclaim it, paid just to avoid legal coercion, or if the debt repayment was contingent upon certain conditions being met.
(2) However, if the debt was unconditional, you can't demand a refund just because you decided to pay it off before the due date.
Here is a link, which includes some case law excerpts at the end.
Section 1111.
General Rule
(1) If any part of one person's property is transferred to another through any means without being based on a valid legal contract, court order, government authority, or specific law, the recipient is obligated to return it. If returning the actual property isn't possible, they have to compensate for its value.
(2) "Transfer of property" also includes gaining a benefit through a specific action.
(3) The obligation to return property or compensate for its value also applies if something was received based on a premise that failed to materialize or was later invalidated.
Section 1112.
When recovery cannot be demanded
(1) Anyone who makes a payment knowing they aren't actually obligated to pay loses the right to demand it back—unless they specifically reserved the right to reclaim it, paid just to avoid legal coercion, or if the debt repayment was contingent upon certain conditions being met.
(2) However, if the debt was unconditional, you can't demand a refund just because you decided to pay it off before the due date.
Here is a link, which includes some case law excerpts at the end.