Rhodes Hardwood Flooring Corp. v. Cherry

Kelley, J.,

Plaintiff seeks to recover the sum of $13,317.70 on defendant’s written “guaranty of payment” of sums due for the sale of materials to the Colonial Lumber Co., Inc. The pleadings disclose that Colonial Lumber Company became indebted to plaintiff for materials in the approximate sum of $17,756.94, that it then filed a petition for an *435arrangement under Chapter 11 of the Bankruptcy Act and: “That Colonial Lumber Company, in the course of the aforesaid proceedings, submitted an Arrangement to pay its creditors 25 % of their respective claims against it in full settlement thereof…