Ray Mashburn Homes LLC v. Charterbank

Ray Mashburn Homes, LLC, Ray M. Mashburn, and Jan O. Mashburn appeal the grant of summary judgment to Charterbank in this suit on two promissory notes and a guaranty. They argue that the correct interest rate on the business’s loan is a disputed issue of fact, but we find that the promissory note unambiguously set forth the interest rate. The appellants argue that the proper amount of damages is in dispute due to discrepancies in the bank’s evidence. We are constrained to agree. But the discrepancy in the evidence of damages on the Mashburns’ loan works to their favor, so they have no legal right to complain. The discrepancy in the evidence of damages on the business’s loan, on the other hand, means that material issues of fact exist as to the amount of damages. We therefore affirm the grant of summary judgment to the bank on the issue of liability on both notes and the guaranty, affirm the grant of summary judgment to the bank on the issue of its damages on the Mashburns’ loan, reverse the grant of summary judgment to the bank on the issue of its damages on the business’s loan and the guaranty, and remand the case for proceedings not inconsistent with this opinion.

Summary judgment is proper when there is no genuine issue of material fact and the movant is entitled to judgment as a matter of law. OCGA § 9 11 56 c. We review a grant or denial of summary judgment de novo and construe the evidence in the light most favorable to the nonmovant. Nelson v. Hamilton State Bank, 331 Ga. App. 419 771 SE2d 113 2015 citation omitted. So construed, the record shows that on June 27, 2007, Ray Mashburn Homes, LLC executed a promissory note to Charterbank’s predecessor in interest in the amount of $327,702.99. The note provided a variable rate of interest, defined as .5 percent above Lender’s Prime, the base rate used by Lender to set interest rates at which loans are made to various borrowers. On July 8, 2008, Ray and Jan Mashburn executed a promissory note to Charterbank’s predecessor in interest in the amount of $296,359 with a 5.5 percent interest rate. Both notes were secured by real property and Ray Mashburn guaranteed the business’s obligation.