GA Unenforceable personal guaranty.
Order finding unenforceable personal guaranty, which defendant signed agreeing to pay Landlord rent in event that Tenant defaulted on Lease without further identifying Landlord, Tenant or Lease, reversed; trial court erred in ruling personal guaranty unenforceable for failing to identify principal debtor or to sufficiently identify party whose debt was being guaranteed, since same notary witnessed both guaranty and lease, which defendant signed only one day prior, listing plaintiff as landlord and defendant’s restaurant as tenant; though neither lease nor guaranty made reference to other, evidence showed that they were sufficiently contemporaneously made within course of same transaction.
Hong Investments LLC v. Sarsfield, A11A1460 (10/14/11)
Fulton County Daily Report, November 4, 2011
GA Judgment for plaintiff, as execution date was not essential term.
Judgment for plaintiff bank in action to recover for defaulted loan, affirmed, as lack of execution date on personal guaranty signed by defendant did not violate Statute of Frauds because express language of guaranty sufficiently identified debt that it covered and execution date was thus not essential term; trial court did not err in admitting parol evidence to clarify execution date because Statute of Frauds does not prohibit use of such evidence to explain ambiguities in nonessential terms, trial court did not rely on any opinion expressed by defendant during his deposition, and trial court did not rely on contemporaneous writing rule; trial court did not err in awarding plaintiff attorneys’ fees pursuant to O.C.G.A. § 13-1-11; although plaintiff’s demand letter did not specifically quote attorneys’ fee provision in note or statute under which it would seek such fees, letter did reference note and state that plaintiff would seek attorneys’ fees and litigation expenses if debt was not paid within 10 days of receipt, which was sufficient to satisfy requirements of O.C.G.A. § 13-1-11.
Brzowski v. Quantum Nat’l Bank, A11A0785 (09/22/11)
Fulton County Daily Report, October 7, 2011
