Gilbert v. Cobb Exchange Bank

Bell, Chief Judge.

This is a suit on a guaranty agreement. The trial court granted plaintiffs motion for directed verdict and a judgment was entered.

Plaintiffs evidence established that defendant’s son on July 31,1970 executed a promissory note to plaintiff in the amount of $3,100. The defendant executed an unconditional guaranty of payment of the note and of all extensions or renewals. On October 10,1971 the note was renewed but an additional $600 cash was added to the principal amount of the original. The defendant argued at trial and here that the addition of the $600 constituted a novation…