Toland v. Key Bank of Wyoming

MACY, Chief Justice.

Joe and Mary Toland appeal from a summary judgment order in which the district court declared that Key Bank of Wyoming, Trustee of the Henry G. Oswald and Margaret Oswald Trust, was partially discharged of its obligations as guarantor of Oswald Jewelry & Gifts, Inc. in an owner-financed, business-sale transaction. The district court discharged Trustee Key Bank to the extent that the Tolands had impaired the collateral pledged as security for the Oswald Jewelry debt by failing to perfect a first priority security interest in such collateral.

We reverse and remand.

The Tolands…