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AgGeorgia Farm Credit v. Carter LLC (In re Carter)

Name
IN RE: Jerald Walt CARTER, Carter and Sons, LLC, Debtors. AgGeorgia Farm Credit, ACA, Plaintiff, v. James F. Carter, Jerald Walt Carter, and Carter and Sons Farms, LLC, Defendants.
Attorney(s)
John T. McGoldrick, Jr., Martin Snow, LLP, Macon, GA, for Plaintiff., John Edward Dalton, Jr., Coleman Talley LLP, Valdosta, GA, Gregory D. Taylor, Stone & Baxter, LLP, Macon, GA, for Defendants., John T. Laney, III, United States Bankruptcy Judge This case is before the Court on cross Motions for Summary Judgment filed by AgGeorgia Farm Credit, ACA, the Plaintiff ("AgGeorgia"), and James F. Carter, a defendant. Defendants J. Walt Carter (herein "Walt Carter") and Carter and Sons Farms, LLC did not oppose AgGeorgia's Motion for Summary Judgment. The Court heard oral arguments on this matter on May 9, 2018., James Carter memorialized his grant of this security interest in two documents. First, he executed a deed to secure debt (the "Deed to Secure Debt"). In addition to securing the funds financing the Packing Shed Purchase, the Deed to Secure Deed contained an "open-end clause." (7056 Statement; Admitted by failure to explicitly deny in James Carter's Response to 7056 Statement ¶ 4). That clause extended the security interest to "all additional loans and advances that may subsequently be made to [Walt Carter] (or to any one or more of the parties designated as Undersigned or Borrower, with the written consent of the remainder of said Undersigned or Borrower) by [AgGeorgia.]" (James Carter's Brief in Response to Plaintiff's Motion for Summary Judgment (AP No. 39) [herein "James Carter's Brief"] Ex. 4 Pg. 2). The Deed to Secure Debt was recorded in the Lowndes County real estate records on March 19, 2013. (Id. )

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