Monsignor Bernard P. Sheridan Counsel No. 6138 Knights of Columbus v. Bargersville State Bank

BAKER, Judge.

Today we are asked whether a not-for-profit corporation may guarantee members' loans and mortgage property to secure such a guaranty. Appellant-defendant Monsignor Bernard P. Sheridan Counsel No. 6188 Knights of Columbus, Inc. (K of C) appeals the trial court's grant of summary judgment in favor of appellee-plaintiff Bargersville State Bank (Bank) enforcing its guaranty and mortgage. K of C presents the following issues for our review:

I. Whether the guaranty and mortgage were ultra vires.

II. Whether statutory law prohibits the K of C's guaranty and mortgage.

FACTS

In the Bank's…