Success Story: Achieving Peace of Mind

Client – a contractor with a banking background – had assumed son’s – also a contractor – liability for multiple construction loans, with the intention that he would complete son’s projects, sell the properties, pay off the loans, and hopefully make some small profit. Client understood the assumption to be a non-recourse transaction, allowing him to walk away and leave the bank to foreclose on the properties if he decided it no longer made financial sense to him. When Client did walk away, the bank sued him for the approximate equivalent of $2.2 million. Though Mr. Owens was confident of prevailing if the dispute proceeded to trial, even a 1/10 chance of losing represented serious financial risk to Client. In mediating the dispute before trial, Mr. Owens was able to negotiate a surrender of the properties and one-time payment to the bank by Client that resolved the matter once and for all and allowed Client and his son to move on with their lives and businesses.