Explain using the irac method

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Reference no: EM133200471 , Length: 1 page

Question: Krista Babcock cosigned an automobile loan agreement that enabled her friend, Horne, to obtain a $5,000 loan to acquire an automobile from a third party. Horne defaulted on the loan after making a number of payments, and Babcock paid $2,000 to the lending institution to pay off the remaining balance on the loan. Babcock then brought suit against Horne to recover the $2,000.

Is she entitled to recover the $2,000? fully explain using the IRAC METHOD.

Reference no: EM133200471

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