Hersch v. Citizens Savings & Loan Assn.

Opinion

NELSON, J. *

Defendants, as joint venturers, gave plaintiffs a promissory note secured by a pledge of certain bonds. The security agreement between the parties provided that if the bonds decreased in value the defendants would pledge additional bonds. The bonds decreased in value. The defendants did not pledge additional bonds. Plaintiffs accelerated the note, foreclosed on the security and sold it for less than the amount of the note. This is an appeal by the defendants from a judgment against them for the difference between the amount of the note and the amount received from a sale of…