At 1:30 the Miss.S.Ct. will hear the case of Biel Reo, LLC v. Lee Freyer Kennedy Crestview, LLC and Lee Freyer Kennedy.
Biel Loan Co. was the assignee of two notes. LFK Crestview was the borrower and Kennedy guaranteed the indebtedness under a Continuing Guaranty Agreement.
In 2011, Biel filed suit for breach of contract on the two notes and guaranty. Biel also filed in Florida to foreclose a property in Crestview, Florida, that secured note 1. Biel did not sue Kennedy in the Florida case. Biel purchased the property at the foreclosure sale for $100 and obtained a post-foreclosure defeciency judgment against LFK Crestview of almost $6,000.000. The Mississippi case on the notes and guaranty went to trial in April 2016. The court entered a Rule 41(b) on Note 1 finding that Biel could not pursue that claim having obtained a final judgment on Note 1 against LFK Crestview in the Florida litigation. The Court did find LFK Crestview liable for breach of contract on Note 2 in the amount of $472,653.14 and Kennedy liable under the guaranty.
Biel appealed the Court’s ruling with respect to Note 1. Kennedy cross-appealed the Court’s ruling with regard to Note 2. Kennedy argues that the assignments to Biel were not effective.
Biel reply brief
Kennedy reply brief
Watch the case here.