Molasky Enterprises, Inc. v. Carps, Inc.

WEIER, Judge.

When Herbert M. Carp and Emile S. Carp as corporate officers endorsed their personal note and executed other papers on behalf of the corporation to obtain a personal loan at Lindell Trust Company, they failed to obtain formal authorization or approval from the board of directors of the Carps, Inc. Molasky Enterprises, Inc., the assign-ee of the second endorser, Allan Molasky, paid a balance of $267,000 on the note to Lindell Trust and then sought to recover from Carps, Inc., as first endorser. The case was tried to the court without a jury and judgment was rendered for the…