Tri-Cities Construction, Inc. v. American National Insurance Co.

COLEMAN, Chief Justice.

This is an appeal from a summary judgment in favor of American National Insurance Company, the defendant in the trial court.

This controversy grows out of a loan commitment agreement between the defendant and MarkLand Development, Inc., whereby the defendant agreed to provide permanent financing in the sum of $550,000.00 to MarkLand on the security of a completed commercial real estate development. MarkLand was required by said agreement to deposit $11,000.00 as a “standby” fee. Such fee was to be retained by defendant as liquidated damages if such loan was not closed…