New York Court of Appeals

Chemical Bank v. Sandy Sepler

November 29, 198360 N.Y.2d 289

Summary

The Court affirmed the Appellate Division, holding that the personal guarantees executed by the appellants were continuing guarantees that survive repayment of the original loans and apply to obligations later acquired by the bank through assignment. The guarantees terminate only by written notice, and lack of further consideration or a change in the business relationship does not defeat enforcement, nor does an equitable argument.