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P & M ENTERPRISES v. MURRAY

293 N.J. Super. 310 (1996)

680 A.2d 790

P & M ENTERPRISES, PLAINTIFF-RESPONDENT, v. RONALD MURRAY AND NANCY MURRAY, DEFENDANTS/THIRD-PARTY PLAINTIFFS-APPELLANTS, v. JOSEPH P. PERFILIO AND THOMAS M. MARQUET, INDIVIDUALLY AND T/A PERFILIO AND MARQUET, COUNSELLORS AT LAW, THIRD-PARTY DEFENDANTS.

Superior Court of New Jersey, Appellate Division.

Decided August 16, 1996.

Attorney(s) appearing for the Case

Harmon H. Lookhoff, argued the cause for appellants.

George N. Pappas, argued the cause for respondent.

Before Judges PRESSLER and A.A. RODRIGUEZ.

The opinion of the court was delivered by RODRIGUEZ, A.A., J.A.D.

A loan by an attorney to a client is presumptively invalid. Davanne Realty Co. v. Brune, 67 N.J.Super. 500, 171 A.2d 97 (App.Div. 1961). In this appeal, we hold that unless the presumption is overcome, the loan obligation is unenforceable from its inception, and the attorney is entitled only to the return of the principal...

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