Great Southwest Life Insurance v. Frazier

FLETCHER, Circuit Judge:

Darlene Frazier, mortgagor, appeals the district court’s finding that the Small Business Administration (“the SBA”), second mortgagee, is entitled to a deficiency judgment against her for the balance of her SBA loan after the sale of collateral. Frazier contends that under Idaho law the SBA is barred from obtaining a deficiency judgment. She asserts defenses of impairment of collateral, estoppel, violation of agency procedures, and breaches of good faith and fair dealing, inter alia.

Because we find that the impairment of collateral defense is not available to the…