Conveniently lacking some legal principles there vautex. You dont necessarily need an ironclad agreement that the funds would be used to acquire jack hills. Try looking up what a "Constructive Trust" is and how powerful they can be.
"If I lend or even give you 10 bucks, which you then use to buy a lotto ticket which wins you millions, then good for you..."
Thats right vautex, but thats because you LENT the money to the person as that was your intention. In our case, due to the lack of agreements saying it was a loan or investment the judge will look at the intent of the party providing the funds, as well as the circumstances involved.
For example, is CHM in the business of Lending money? No, its a MINING Company, more likely to invest in mining projects, than provide interest free loans indefinately to other parties, especially when the other party has no capacity to repay any such debt.
Has MMX paid interest instalments?, repaid any money? If no, then it doesnt look/operate like a loan, the look and feel of it is more investment based, as no consideration has been given for the so called loan.
It would do you well to understand that the courts have the power to potentially place jack hills in constructive trust for the benefit of CHM, my feel is that CHM wont be granted the whole project, more likely a % ownership based on their investment contribution. After all without CHM's money, MMX would never have got the project in the first place!
IMO only, do your own research. My research involved consultation with an independant lawyer.
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