Jack's Factory Outlet v. Pontiac State Bank

The issue in this case is whether the trial court exceeded the powers granted under GCR 1963, 313.4, by dismissing plaintiffs’ suit for failure to appear at a deposition.

On February 23, 1977, plaintiffs commenced action for $1,000,000 in damages predicated on defendant’s alleged bad faith acceleration of a $35,000 secured loan to the corporate plaintiff (Factory Outlet) and personally guaranteed by the corporation’s president (Ginsburg). The bank answered, asserting that the acceleration was made after the bank discovered that Factory Outlet’s checking account was being used as a conduit for…