Who will bear the cost of the legal action(s) taken against an Issuer (SME)?
Investors will have to bear the costs of the certain legal actions (e.g. bankruptcy applications against a Personal Guarantor(s), application for winding up of Issuer or award of Issuer legal costs by the court) undertaken by MoolahSense on behalf of them. They will also bear the risk of losing their investment and the cost of the legal actions if the loan recovery is not successful. Notwithstanding, MoolahSense will consult affected Investors before commencing a legal action that will require them to bear the legal costs. MMoolahSense will proceed only if consent is given by all Investors in a specific promissory note.