Heritage Standard Bank & Trust Co. v. Heritage Standard Bank & Trust Co.

Plaintiff, Heritage Standard Bank and Trust Company (the bank), sought entry of a deficiency judgment against defendants, David and Mary Callaghan, following the foreclosure and sale of the beneficial interest in a certain land trust which the Callaghans had assigned to the bank as collateral for a promissory note. The trial court refused to grant a deficiency judgment, and the bank appeals.

On June 8, 1983, plaintiff filed a “Complaint in Chancery to Foreclose Security Interest.” The complaint alleged in pertinent part that: (1) David and Mary Callaghan had become indebted to the bank in the…