Union National Bank of Little Rock v. Kutait

312 Ark. 14, 846 S.W.2d 652 (1993)

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Union National Bank of Little Rock v. Kutait

Arkansas Supreme Court
312 Ark. 14, 846 S.W.2d 652 (1993)

  • Written by Sharon Feldman, JD

Facts

Edward Kutait borrowed money from Union National Bank (the bank) (defendant) to start a business. A dispute arose, Edward’s business went into bankruptcy, and Edward and others sued the bank. The bank filed an action against Edward’s brother Kemal Kutait (plaintiff), alleging in part that Kemal had guaranteed Edward’s loan. During negotiations, the bank’s counsel suggested to Kemal’s counsel that the bank would dismiss the suit if Kemal would influence Edward to drop his claim against the bank. Kemal refused. The bank dropped its claim against Kemal. The jury returned a verdict for Edward in his suit against the bank. Kemal sued the bank for malicious prosecution and abuse of process, alleging that the bank’s lawsuit against him was instituted without probable cause. The court denied the bank’s motion for a directed verdict on Kemal’s abuse-of-process claim. The bank appealed.

Rule of Law

Issue

Holding and Reasoning (Newbern, J.)

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