Kelly v. United Financial Corp.

Opinion

KINGSLEY, J.

Plaintiffs were the sole officers and shareholders of Krim Construction Company (hereinafter “Krim”). To finance a student housing project in Isla Vista, California, Krim entered into a “take-out” agreement with United. This written agreement provided that, upon certain conditions to be met by Krim, United would loan Krim $950,000 by April 18, 1964. On November 25, 1964, United extended its commitment until November 30, 1965. The loans were not made and plaintiffs claim damages in the amount of $28,500—being the amounts paid by Krim to induce the making of the “take-out”…