Commercial Security Bank v. Hodson

WADE, Justice.

Plaintiff Commercial Security Bank of Ogden, respondent here, sued Jerry and M. L. Morgan and Vance and Wayne Hodson, appellants here, for $32,000 on a promissory note. The defendants counterclaimed for $200,000 damages for breach of a contract by the bank in cancelling an agreement to loan them $300,000 which the bank knew *389they had already commenced to use to operate a “custom-kill” of cattle with McFarland, Inc., a Salt Lake City meat-packing plant, which was in financial difficulty. The H & M Cattle Company, owned by the Hodsons and Morgans and their wives, sued the bank for…