U.S. Bank v. Miller CA4/3

FACTS

On April 20, 2012, U.S. Bank, as trustee for Registered Holders of ML- CFC Commercial Mortgage Trust 2007-7, Commercial Mortgage Pass-Through Certificates Series 2007-7, and acting through its Special Servicer, Midland Loan Services, a division of PNC Bank, N.A., filed a complaint against D. John Miller, Lindsay Parton, Eric Sahn, and John Cappetta (defendants) for breach of written guaranty. The complaint alleged as follows: Defendants signed a guaranty to secure a loan of $105 million to Bella Terra Office JV, LLC (Bella Terra); the guaranty assured the unconditional payment and performance of all obligations and liabilities of Bella Terra; Bella Terra defaulted on the loan by failing to make consecutive monthly payments of interest; the Bank initiated an action against Bella Terra resulting in the appointment of a receiver; the Bank, Bella Terra, and defendants entered into a settlement and noninterference agreement and general release;1 under the terms of the agreement, the parties stipulated to a receiver managing and selling the property; the agreement also released defendants from future liability if certain conditions were met; defendants

1 That action was the…