SCC Acquisitions, Inc. v. Central Pacific Bank

Appellants SCC Acquisitions, Inc., and Bmce Elieff (collectively appellants), guarantors on a loan by respondent Central Pacific Bank (the bank) to Fillmore Sun LCC (Fillmore Sun), appeal from a judgment of the superior court denying them relief and finding in favor of the bank on appellants’ cross-complaint. Appellants contend the trial court erred in instructing the jury. Finding no error, we affirm.

I

FACTS

In August 2005, the bank lent Fillmore Sun over $7.3 million for costs involved in purchasing certain property and for “paying the predevelopment costs related to the development of the Property.” Under the terms of the one-year loan, Fillmore Sum would pay only the interest on the loan until the maturity date of the loan, August 24, 2006, at which time the entire principal would be due. The loan also contained a provision affecting the maturity date: If there were no uncured default outstanding at the time of the maturity date, in the bank’s sole and absolute opinion and judgment the maturity date would be extended to February 24, 2007. The clause also provided “[t]he granting of such extension, however, is not intended to imply any agreement for any other or…