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CONFIDENTIAL

Oct. 24, 1998

Banking
Breach of Contract
Note

Confidential

Settlement –  $40,000

Judge

Judith C. Chirlin

Court

L.A. Superior Central


Attorneys

Plaintiff

Holly Metzler Walker


Defendant

Steve Y. Cho


Facts

On April 28, 1992, the defendant entered into a promissory note ("the Note") with thrift and loan in the principal amount of $77,548. The loan was for business purposes. On March 31, 1995, the Superintendent of Banks for the State of California closed the thrifty and loan and immediately thereafter, appointed the Federal Deposit Insurance Corporation ("FDIC") as Receiver of thrift and loan. Subsequently, the FDIC assigned all its rights title and interest in the Note to the plaintiff. The defendants continued to make payments until Feb. 1, 1996, when the defendants ceased to make payments under the terms of the Note. The plaintiff, an Oklahoma limited partnership, brought this action against the defendants for breach of contract.

Settlement Discussions

The plaintiff made an initial settlement demand for $45,000. The defendant made an initial offer of compromise for $18,000, inreased to $36,000.

Damages

The plaintiff claimed damages in the principal sum of $43,068.68, accrued interest of $10,571.59, and late charges of $1,694.25.

Other Information

The settlement was reached approximately three months after the case was filed.


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