Action Mortgage Corp. v. Van Deusen

Goolsby, Judge:

In this action for breach of contract accompanied by a fraudulent act brought by the appellant Action Mortgage Corporation against the defendants Donald E. Van Deusen *210and Greater Greenville Homes and the respondent Sentry Indemnity Company, the dispositive issue is whether an action may be maintained by a lending institution against a surety on a statutory bond required of a licensed manufactured home dealer. We hold that a lending institution may bring such an action. The judgment below, therefore, is reversed.

Action Mortgage is a finance company that finances the sale of…