Spickes Bros. Painting Contractors, Inc. v. Worthen Bank & Trust Co., N.A.

Kent J. Rubens, Special Chief Justice.

On April 26, 1984, Worthen Bank and Trust Company, N.A., (Worthen) lent to Lifesavers Center, Inc., (Lifesavers) the sum of $1,600,000 for the purpose of construction of improvements on lands upon which Lifesavers gave Worthen a mortgage. The mortgage contained the following language:

[Worthen] is firmly bound and obligated to make the $1,600,000.00 loan secured hereby which shall be applied by [Lifesavers] to payment of labor and material costs to be incurred in the construction of improvements on the above described land. Notice is hereby given that the…