Mobile Discount Corp. v. Schumacher

OPINION

HOWARD, Chief Judge.

In 1972 the Schumachers entered into a retail installment contract with Livin’ Easy Mobile Sales, Inc. for the purchase of a mobile home. The contract was assigned to Mobile Discount Corporation, which in turn assigned its interest to the Mission Bank. In assigning the contract, Mobile Discount agreed to act as guarantor for the Schumacher’s obligation.

In June 1973 the Schumachers decided they could no longer make the payments on the mobile home. Mr. Schumacher contacted the manager at Livin’ Easy who, according to Schumacher’s testimony, told him there would be no…