Legal Question in Business Law in Nevada

If a corporation(c) signs a promissary note and is quaranteed by the officers/shareholders. Defaults on the promissary note, does a lawsuit need to commence in order to get satisfaction on the note?


Asked on 7/11/11, 8:14 am

1 Answer from Attorneys
Kevin B. Murphy Franchise Foundations, APC

As a Franchise Attorney I can only say the following. It depends on the terms of the promissory notes. Some notes provide for secured collateral in the event of default, for example, and on default it's possible to proceed against that collateral. Typically, to collect on a non-secured note, a lawsuit must be commenced and a judgment obtained. Consult with a good business or franchise attorney in your area for specific advice.

Mr. Franchise - Kevin B. Murphy, B.S., M.B.A., J.D.

Franchise Foundations, a Professional Corporation

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Answered on 7/11/11, 10:12 am


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