I have a 100% ownership of a property and a minority owner of a multifamily property which is under construction. There is a construction loan on the multifamily property which is cross collateralized to my property. The multifamily property is also in defalut as the construction loan matured and about to go into foreclosure. However, I do believe that I have a case against my general contractor and my partner. I have reasons to believe that my GC swindled money and may have a witness to prove that he used the funds for our project for another one of his project. My question is would I be able to force the bank to uncollateralize my loan or have some kind of workout with lawsuit against my general contractor and/or my partner? What would be the best approach?
I am not an attorney nor do I play one on TV. Your time would be better spent contacting a local attorney and asking this question.
I doubt a judge will grant such a request without a judgment and the property will be long gone by the time the trial is over. Keep in mind you will have to pay the filing fees and attorney costs even if you lose and no attorney will take this case without a retainer.
Get an attorney ASAP.