Question
1.You represent First Security Bank that has made a loan to Sandy's Flower Shop, Inc. secured by a valid, perfected, first priority security interest in
1.You represent First Security Bank that has made a loan to Sandy's Flower Shop, Inc. secured by a valid, perfected, first priority security interest in the accounts, inventory, equipment, and general intangibles of the company. The owner of Sandy's Flower Shop, Sandy Sutton, also has given First Security Bank a personal guarantee for the loan. Sandy's Flower Shop missed the last two payments and therefore is in default under the loan documents. First Security Bank has sent a proper notice of default and accelerated the balance due, and now wants to collect the outstanding loan balance of about $125,000. The estimated fair market value of the collateral is about $150,000. What alternative remedies, including different methods of foreclosure, can First Security Bank pursue to collect its outstanding loan balance?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started