Michigan National Bank v. Holland-Dozier-Holland Sound Studios

In September of 1972, plaintiff, Michigan National Bank, loaned $75,000 to defendant, Holland-Dozier-Holland Sound Studios (hereinafter "Sound Studios”). In return plaintiff received: (1) a promissory note for $88,495.20, which included interest to maturity, signed by Sound Studios as principal and by defendant, Edward J. Holland, Jr., as guarantor; and (2) a security agreement covering certain furniture, fixtures, equipment and inventory of Sound Studios.

After remitting a total of $19,666.14, Sound Studios ceased making further payments, causing plaintiff to institute suit in the Wayne…