Legal Question in Civil Litigation in Florida
Right of Intervention
Part 1) Can a sole stockholder, major creditor and guarantor of certain corporate obligations intervene (and represent himself) in an action in which the corporation is a defendant and has recently defaulted? The opposing argument being a corporation must be represented by an attorney and such a motion circumvents that requirement.
Part 2) As guarantor and defendant in an action which the corporation has defaulted, can a counter claim be filed against Plaintiff/Creditor for breech of contract, negligence, fraud or unfair and deceptive trade practices as a Third Party Beneficiary of the agreement?
1 Answer from Attorneys
Re: Right of Intervention
In general, (1) a guarantor is a person whose interests would be sufficiently affected by litigation on the corporate principal's debt to have a right to intervene (note that such intervention might not prevent a default judgment against the principal) and (2) a guarantor can assert all defenses, or offsets that the principal would have.
The above is a discussion of general principles of law. I can't give legal advice without consulting the client and reviewing all relevant pleadings, contracts and other documents.