Responses to C&D letter - what do you think?

Your email regarding your balance with Loan Shop Online has been received. I appreciate your cooperation as I attempt to work with you to resolve this matter as quickly as possible.

While I appreciate your offer, upon review of your complaint and the information your file, if you are willing to return the attached release agreement, I am happy to waive the $200.00 balance you offered to pay and close your file as “Paid in Full”.

Upon receipt of the attached agreement, there will be no further attempts to contact you or receive payments & a “Paid in Full” letter will be mailed to you immediately.

If you have any questions, please feel free to contact me by phone or email through the information below. Happy Holidays!

Sincerely,
William Mashburn

Loan Shop Online

Phone: 888-265-5074 x3497

Fax: 800-383-3309

RELEASE
THIS RELEASE (“Agreement”) is entered into as of the __4th__ day of December 2008 by and between The Loan Shop a Delaware limited liability company (the “Company”), and (the “Borrower”).

WITNESSETH:

WHEREAS, the Borrower and the Company entered into that a certain Loan Agreement dated 2/25/2008 (the “Loan Agreement”) and other documents related thereto; and

WHEREAS, in connection with the transactions contemplated in the Loan Agreement, the parties desire to execute and deliver this Agreement.

NOW, THEREFORE, the parties hereto, in consideration of the premises and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged by all parties, hereby agree as follows:

1. Release.

(a) Release by the Borrower. The Borrower, for herself and her present and former agents, predecessors, shareholders, directors, officers, employees legal representatives, descendants, spouses, successors, predecessors, agents, attorneys and assigns (collectively, the “Affiliates”), does hereby fully release and forever discharge the Company and its Affiliates from and against any and all claims, demands, obligations, causes of action, actions, suits, controversies, debts due, sums of money, trespasses, privileges, covenants, contracts, agreements and promises and any damages, costs, expenses, attorneys’ fees, obligations and liabilities of whatever kind or nature, at law, in equity or otherwise, whether asserted defensively or offensively, whether known or unknown, that any of such parties ever had, now has or may have, but only to the extent arising or occurring from or in any way growing out of facts in existence or alleged to have been in existence on or prior to the date hereof (collectively, the “Released Claims”).

(b) No Suits. The Borrower (for herself and her Affiliates) hereby covenants and agrees that they have not directly or indirectly, alone or with others, brought, commenced, instituted, maintained, prosecuted or voluntarily aided, and that they will not directly or indirectly, alone or with others, bring, commence, institute, maintain, prosecute or voluntarily aid, any action, at law or in equity, or any other proceeding against the Company or its Affiliates, either affirmatively or by way of cross-complaint, third-party claims, defense or counterclaim or by any other means with respect to any of the Released Claims.

(c) No Claims Assigned. The Borrower (for herself and her Affiliates) further represents and warrants that they have not assigned or otherwise transferred any right, title or interest in any of the Released Claims. The Borrower further agrees to indemnify and hold the Company and its Affiliates harmless from and against any claims resulting from any such assignment or transfer.

(d) Complete Defense. The parties hereto agree that this Agreement may be pleaded as a full and complete defense to, and may be used as a basis for an injunction against, any action, suit or other proceeding which may be instituted, prosecuted or attempted in breach hereof.

2. Non-Admission. The parties agree that nothing in this Agreement is an admission by any party hereto of fault, liability, of any unlawful act or breach of contract, violation of applicable law or commission of a tort, all of which are expressly denied.

3. Entire Agreement. This Agreement contains the entire agreement between and among the parties hereto with respect to the subject matter hereof and supersedes any and all prior agreements, arrangements or understandings between the parties hereto relating to the subject matter of this Agreement.

4. Successors and Assigns. This Agreement is and shall be binding upon and inure to the benefit of the parties hereto and their respective successors, assigns, administrators, legal representatives, servants, directors, officers, employees and agents.

5. Amendment; Waiver. This Agreement may be amended only by a written instrument signed by the parties hereto. No provision of this Agreement may be waived orally, but only by a written instrument signed by the party against whom enforcement of such waiver is sought.

6. APPLICABLE LAW. THIS AGREEMENT, AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HERETO SHALL BE GOVERNED BY AND CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF MISSOURI, WITHOUT GIVING EFFECT TO THE CONFLICTS OF LAW PRINCIPLES THEREOF.

7. Representations. All parties warrant and represent to all other parties to this Agreement:
(a) that they have read and understand all aspects of this Agreement, and all of its effects;

(b) that they have executed this Agreement as a free and voluntary act of their own free will without any treat, force, fraud, duress or coercion of any kind; and

(c) that they will not disclose the existence, or the terms, of this Agreement to any third party.

8. Invalid Provisions. If any provision hereof is held to be illegal, invalid or unenforceable, such provision shall be modified to the extent necessary to render such provision enforceable and, if necessary, shall be fully severable; this Agreement shall be construed and enforced as if such illegal, invalid or unenforceable provision was so modified as of the date hereof, or never comprised a part hereof, as the case may be, and the remaining provisions hereof shall remain in full force and effect and shall not be affected by the illegal, invalid or unenforceable provision.

9. Counterparts: Facsimiles: This Agreement may be executed in multiple
counterparts, all of which, when combined, shall constitute one (1) agreement. Facsimile signatures shall be effective.