2012 QCCQ 5780, 2012 QCCQ 5780

Assaraf c. Colicchio 2012 QCCQ 5780 COURT OF QUEBEC Small Claims Division CANADA PROVINCE OF QUEBEC DISTRICT OF MONTREAL TOWN OF MONTREAL Civil Division No: 500-32-120425-097 DATE: July 3, 2012 ______________________________________________________________________ BY THE HONOURABLE SUZANNE HANDMAN, J.C.Q. ______________________________________________________________________ MAURICE ASSARAF […] Montréal (Québec) […] Plaintiff v.

ETTORE COLICCHIO -and- GIUSEPPINA DI LELLA COLICCHIO […], St-Léonard (Québec) […] Defendants ______________________________________________________________________ JUDGMENT ______________________________________________________________________ [ 1 ] Maurice Assaraf is suing Ettore Colicchio and Giuseppina di Lella Colicchio for $5,500, seeking the repayment of a loan. Mr. Colicchio claims the money was provided as an investment in his business. Mrs. Giuseppina di Lella Colicchio was not present at the hearing. The evidence: [ 2 ] Mr. Assaraf worked as a salesman. Mr.

Colicchio had a company called Jem Finishing Inc. which provided finishing services, preparing imported clothing for sale. [ 3 ] Mr. Assaraf was introduced to Mr. Colicchio by a mutual acquaintance, with the intent that the three could become associates in Mr. Colicchio’s company. [ 4 ] Mr. Colicchio was having financial difficulties and was unable to meet his monthly rent payments for the premises his company was occupying. He asked Mr. Assaraf for a loan. Mr. Assaraf gave Mr. Colicchio $4,500 on May 9, 2008 and then on June 5, 2008, he gave Mr. Colicchio another $2,500. [ 5 ] According to Mr. Assaraf, Mr.

Colicchio was to repay him. However, despite Mr. Colicchio’s assets and his promises, Mr. Assaraf only received a few cheques for $500 each, totalling $1,500. His attempts to collect the remainder of his funds were unsuccessful. [ 6 ] Mr. Colicchio admitted that Mr. Assaraf had given him $7,500 for his rent. He hoped his company would acquire more business but that did not materialize. He claimed the money constituted an investment in a business deal; he had only remitted $1,500 since Mr. Assaraf was harassing him.

Analysis: [ 7 ] Mr. Assaraf loaned funds to Mr. Colicchio, who promised to repay him. One of the payments made by Mr. Colicchio contains the mention “loan” at the bottom of his cheque. [ 8 ] Mr. Colicchio contends the money constituted a business investment. Had this been the case, Mr. Assaraf's cheque would have been written to the order of Jem Finishing inc. and the company would have provided Mr. Assaraf with shares. However, this was not the case. [ 9 ] The testimonial and documentary evidence clearly establish that the loan was a personal one and not a corporate investment. Mr. Assaraf provided a loan to Mr.

Colicchio, who did not fully repay the money he borrowed. Mr. Colicchio failed to respect his contractual obligations. Mr. Assaraf is therefore entitled to be reimbursed the amount that remains outstanding, namely $5,500. [ 10 ] There is, however, no legal relation between Mr. Assaraf and Mrs. Giuseppina di Lella Colicchio. FOR THESE REASONS, THE COURT: GRANTS the action of Maurice Assaraf; CONDEMNS Ettore Colicchio to pay Maurice Assaraf the sum of $5,500 with interest at the legal rate and the additional indemnity foreseen by

section 1619 of the Civil code of Quebec since the institution of the action, plus judicial costs of $157; DISMISSES the action against Giuseppina di Lella Colicchio, without costs. __________________________________ SUZANNE HANDMAN, J.C.Q. Date of hearing: May 29, 2012