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In re Estate of Melvin

Illinois Appellate Court
283 N.E.2d 303 (1972)


Facts

Melco, Inc. (Melco) made and issued a promissory note for $12,000 that was payable to Marjorie Floor (plaintiff). The note contained a statement that, in exchange for funds advanced to Melco, Melco would irrevocably guarantee Floor against loss resulting from nonpayment on the note. Melco’s president, Charles Melvin, signed the guarantee statement on the note. After Melvin’s death, Floor brought an action against Melvin’s estate (defendant) for repayment on the note, arguing that Melvin was a guarantor of payment on the note. In the complaint, Floor did not allege that she had obtained a judgment on the note against Melco or that Melco was insolvent. The trial court dismissed Floor’s claim, and Floor appealed.

Rule of Law

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Issue

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Holding and Reasoning (Alloy, J.)

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  • A "yes" or "no" answer to the question framed in the issue section;
  • A summary of the majority or plurality opinion, using the CREAC method; and
  • The procedural disposition (e.g. reversed and remanded, affirmed, etc.).

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