Foran Glennon shareholder Susan N.K. Gummow recently obtained an award of $2.7 million dollars from the United States District Court for the District of Northern Texas on behalf of her client in a dispute concerning a personal guaranty of a loan agreement and promissory note.
The lawsuit arose out of an unconditional personal guaranty made by Defendants relating to two loans taken out by their privately-held businesses. After the privately-held businesses defaulted on their obligations, they filed for bankruptcy. Susan then brought suit on behalf of her client seeking to recoup the money owed per the terms of the agreement from the guarantors.
Susan filed a motion for summary judgment with the court, arguing that the language of the guaranty was unambiguous and must be enforced. The Defendants argued that their personal guaranty was not intended to cover the loan and that there were questions as to how the contract should be interpreted, arguing that the motion should be denied.
After due consideration, the court found that not only was summary judgment appropriate, but the client was also entitled to the full $2.7 million in damages sought as well as costs and attorney fees.
Susan focuses her practice on insurance coverage and bankruptcy. She specializes in representing insurance companies confronted with bankruptcy issues.