Posts Tagged ‘loan’

Court Rules that Guarantor Not Released From Liability Because of Integration Clause and Lenders Have No Duty to Advise Prospective Borrowers to Obtain Counsel

Tuesday, August 30th, 2011

In a recent decision, the Indiana Court of Appeals held that an integration clause contained in a guaranty of one loan did not release the guarantor from his liability of a separate loan.  The Court also held that absent special circumstances, a financial institution is not required to advise a client to seek legal counsel in connection with a commercial transaction. (more…)

Sharing The Wealth: Participated Loans

Wednesday, September 30th, 2009

A participation is a contractual arrangement in which the lead lender makes a loan to his borrower and then sells a share of that loan to another lender known as the participant.  Participants and lenders customarily document the terms and conditions of their deal in a participation agreement which will control the rights and duties between them.  (more…)