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FBME Bank Ltd v Elwes and Another: QBD 25 Jul 2012

The claimant alleged that the two defendants had entered into guarantees in its favour. The court had found that the debt was only due by instalments commencing one year after the initial demand. The second defendant now argued that he was not liable at all. The company whose credit had been guaranteed had been placed in creditors’ voluntary liquidation. The second defendant argued that no default had yet arisen.
Held: The defendant’s arguments failed. Certain amendments suggested had not been incorporated, and the contract terms were clear and not allowing of further interpretation as requested. Judgment accordingly.

Judges:

Richard Seymour QC J

Citations:

[2012] EWHC 2209 (QB)

Links:

Bailii

Statutes:

Insolvency Act 1986 84(2)

Contract, Banking

Updated: 04 November 2022; Ref: scu.463639

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