Chase Manhattan Bank v. E.B. Rood, A/K/A Ed Rood, Sr.

ALBERT J. HENDERSON, Circuit Judge:

This appeal grows out of a diversity action brought by the plaintiff-appellant, Chase Manhattan Bank (Chase), against the defendant-appellee, E.B. Rood, to recover on a personal guaranty.

During the summer of 1979, Chase made a loan to Special Event Entertainment (SEE), a movie production company. Rood, a- Tampa, Florida attorney, participated in the financing. SEE collateralized the loan by obtaining letters of credit from a Tampa bank and then making an irrevocable assignment of those letters to Chase. The Tampa bank issued the letters based on a personal…