Southtrust Bank of Sand Mountain v. Morgan

Supreme Court of Alabama

Southtrust Bank of Sand Mountain v. Morgan

551 So. 2d 967, 1989 Ala. LEXIS 503, 1989 WL 102830

CourtSupreme Court of Alabama

DecidedJuly 7, 1989

Docket88-313

StatusPublished

This text of 551 So. 2d 967 (Southtrust Bank of Sand Mountain v. Morgan) is published on Counsel Stack Legal Research, covering Supreme Court of Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Southtrust Bank of Sand Mountain v. Morgan, 551 So. 2d 967, 1989 Ala. LEXIS 503, 1989 WL 102830 (Ala. 1989).

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Opinion

JONES, Justice.

SouthTrust Bank of Sand Mountain (“Bank”) appeals from an adverse judgment based on a jury verdict in favor of Shirley Morgan, as guarantor of two notes executed by her son-in-law to the Bank. (The judgment against the maker and in favor of the Bank, and the judgment in favor of the Bank on Mrs. Morgan’s counterclaim, are not in issue on this appeal.)

The Bank claims as error the trial court’s denial of its motion for directed verdict at the close of the evidence and the trial court’s denial of its motion for judgment notwithstanding the verdict. Because we find undisputed evidence of each of the elements of the Bank’s claim, and no evidence of a viable defense on behalf of Mrs. Morgan, we reverse the judgment and remand the cause with instructions. Because we also find that the guaranty agreement was limited in amount to the limit of the maker’s line of credit, which was $100,000, the trial court is instructed to enter judgment in favor of the Bank and against Mrs. Morgan in the sum of $100,000 and court costs, notwithstanding the maker’s total indebtedness of $134,572.75 (the amount of the judgment entered against the maker).

REVERSED AND REMANDED WITH INSTRUCTIONS.

ADAMS, HOUSTON, STEAGALL and KENNEDY, JJ., concur. HORNSBY, C.J., and SHORES, J., dissent.

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JONES, Justice.

SouthTrust Bank of Sand Mountain (“Bank”) appeals from an adverse judgment based on a jury verdict in favor of Shirley Morgan, as guarantor of two notes executed by her son-in-law to the Bank. (The judgment against the maker and in favor of the Bank, and the judgment in favor of the Bank on Mrs. Morgan’s counterclaim, are not in issue on this appeal.)

The Bank claims as error the trial court’s denial of its motion for directed verdict at the close of the evidence and the trial court’s denial of its motion for judgment notwithstanding the verdict. Because we find undisputed evidence of each of the elements of the Bank’s claim, and no evidence of a viable defense on behalf of Mrs. Morgan, we reverse the judgment and remand the cause with instructions. Because we also find that the guaranty agreement was limited in amount to the limit of the maker’s line of credit, which was $100,000, the trial court is instructed to enter judgment in favor of the Bank and against Mrs. Morgan in the sum of $100,000 and court costs, notwithstanding the maker’s total indebtedness of $134,572.75 (the amount of the judgment entered against the maker).

REVERSED AND REMANDED WITH INSTRUCTIONS.

ADAMS, HOUSTON, STEAGALL and KENNEDY, JJ., concur. HORNSBY, C.J., and SHORES, J., dissent.

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Bluebook (online)

551 So. 2d 967, 1989 Ala. LEXIS 503, 1989 WL 102830, Counsel Stack Legal Research, https://law.counselstack.com/opinion/southtrust-bank-of-sand-mountain-v-morgan-ala-1989.