Selma Dev., LLC v. Great W. Bank

Selma Development, LLC (Selma) obtained a loan from TierOne Bank (TierOne) that was guaranteed with six individual guaranty agreements. Selma later defaulted on the note. The property was sold at a trustee's sale, but the sale price was insufficient to cover the debt. TierOne brought an action seeking payment from the guarantors (Defendants). After a hearing, the trial court concluded that the fair market value of the property greatly exceeded the amount received from the trustee's sale. The court then granted TierOne's motion for summary judgment and entered judgment against Selma for $306,230 and against Defendants for $586,229. The Supreme Court vacated the trial court's judgment remanded, holding (1) once the trial court determined that the fair market value of the property was greater than the amount received at the trustee's sale, it had to determine whether the Nebraska Trust Deeds Act applied to the guarantors, and accordingly, its order determining fair market value was not a final order; and (2) Defendants offered evidence which created a genuine issue of material fact regarding their defenses, precluding summary judgment. View "Selma Dev., LLC v. Great W. Bank" on Justia Law