A court held that issues of fact relating to affirmative defenses of bad faith, breach of fiduciary duty and breach of the implied covenant of good faith and fair dealing precluded dismissal of those defenses in a foreclosure action.

Plaintiff “A” sold building products and rented equipment to contractors. “B” is the president and sole shareholder of “A.” Defendant “C” owned certain property. “D” and “B” had formed “C,” with each owning a 50% interest.