Rags, Inc. v. Thoroughbred Motor Cars, Inc.

OPINION

CANTRELL, Judge.

This appeal concerns the extent of a surety’s liability on a bond posted in conjunction with a writ of possession. The chancellor authorized execution against the surety for all damages awarded against its principal on a counterclaim and third-party complaint for damages filed by the car dealer against whom the writ of possession was issued. The surety appealed.

*494Plaintiff Rags, Inc. bought a car from defendant-appellee Thoroughbred Motor Cars, Inc. for $58,000. Thoroughbred agreed to give Rags $32,000 in credit for a trade-in car. Before Thoroughbred’s acceptance of the…