FIRST NAT'L BK. OF RED BUD v. Chapman

Plaintiff bank appeals from a judgment rendered in favor of defendant in a suit upon a written contract of guaranty signed by defendant. The judgment is properly silent as to the court’s reason for its decision but a letter from the court in the record indicates that reason to be that the evidence was insufficient to show or prove adequate consideration to support the contract of guaranty. We affirm.

Ray Chapman was a self-employed car dealer whose practice was to pledge automobile titles to the Bank of Red Bud to secure loans, the proceeds of which were to be used in running his business. On…