BERMUDA

SUPREME COURT

TRIAL OF PRELIMINARY ISSUE – GUARANTOR’S LIABILITY – LEAVE TO AMEND

The Plaintiff in this action was a Delaware corporation based in New York State which provides business finance. The Defendant was a businessman resident in Bermuda. The Plaintiff sought US$3,874,441.30 together with, inter alia, contractual interest and costs from the Defendant under a Guarantee and Indemnity Agreement dated 28 September 2009 (“the Guarantee”). The principal debtor whose debts were guaranteed by the Defendant is a Canadian company, Repechage Investments Limited (“RIL”). The primary obligations were owed to the Plaintiff by RIL as assignee of pre-existing liabilities under a Credit Agreement owed by two of RIL’s subsidiaries. RIL filed a voluntary bankruptcy petition in the United States Bankruptcy Court for the District of Massachusetts (Eastern Division), which the Defendant signed as its President and Chief Executive Officer.

Stay current with our latest legal insights and subscribe today