Marine Midland Bank v. Surfbelt, Inc.

BECKER, Circuit Judge.

This diversity action requires us to determine the circumstances under which a guarantor may invoke the protections of Pennsylvania’s Deficiency Judgment Act, 42 Pa. Cons.Stat.Ann. § 8103 (1982) (the “Act”.) Specifically, the question presented is whether a guarantor can successfully invoke the Act where the creditor, after having foreclosed on a mortgage put up by the stockholders of the principal debtor to obtain a delay of the creditor’s action against the principal debtor’s property that secures the loan, fails to follow the Act’s appraisal procedures. We conclude…