Essay about Mgmt 597 Week 3 Assingment
Week 3 Assignment
Reference to Another Agreement Holly Hill Acres, Ltd. (Holly Hill), purchased land from Rogers and Blythe. As part of its consideration, Holly Hill gave Rogers and Blythe a promissory note and purchase money mortgage. The note read, in part, “This note with interest is secured by a mortgage on real estate made by the maker in favor of said payee. The terms of said mortgage are by reference made a part hereof.” Rogers and Blythe assigned this note and mortgage to Charter Bank of Gainesville (Charter Bank) as security in order to obtain a loan from the bank. Within a few months, Rogers and Blythe defaulted on their obligation to Charter Bank. Charter Bank sued to recover on Holly Hill’s note and …show more content…
Lustro, assigned General Investment Corporation after 10 days for consideration of the promissory note. The job was never completed at the Angelini’s home by Lustro, which meant that the note had never become due, nor can a certificate of completion be issued or any legal certificate for that matter. General isn’t able to collect from the Angelini’s because the work was never completed and General isn’t considered a holder of the note. Therefore the Angelini’s would win the case.
Business Ethics Warren and Kristina Mahaffey were approached by a salesman from the Five Star Solar Screens Company (Five Star). The salesman offered to install insulation in their home at a cost of $5,289. After being told that the insulation would reduce their heating bills by 50 percent, the Mahaffeys agreed to the purchase. To pay for the work, the Mahaffeys executed a note promising to pay the purchase price with interest, in installments. The note, which was secured by a deed of trust on the Mahaffeys’ home, contained the following language: “Notice: Any holder of this consumer credit contract is subject to all claims and defenses which the debtor could assert against the seller of goods or services obtained pursuant hereto or with the proceeds thereof.” Several days after Five Star