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Bank alleges Granite City grain company failed to pay loan on $200,000 equipment

MADISON - ST. CLAIR RECORD

Saturday, November 23, 2024

Bank alleges Granite City grain company failed to pay loan on $200,000 equipment

Lawsuits
Kennethdpeters

The Plaintiff is being represented by Kenneth D. Peters of Dressler Peters, LLC in Chicago, IL. | Dressler Peters, LLC

EDWARDSVILLE – A North Carolina Bank is suing a Granite City grain company for allegedly failing to make payments on a loan for equipment.

Plaintiff First-Citizen's Bank & Trust Company filed a lawsuit on March 28 in the Madison County Circuit Court against Grain Densification International, LLC and Christopher Dorr, Sr., citing a breach of contract.

According to the lawsuit, CIT Bank entered into an agreement with Grain Densification to finance the purchase of equipment before CIT merged with First-Citizen's Bank & Trust. The lawsuit states that Dorr signed a guaranty to be unconditionally liable to CIT for the full payment if he defaults on the loan. The lawsuit alleges that the defendant has failed to make monthly payments and has defaulted on the loan. 

Because of the default, the contract states that the plaintiff is entitled to take possession of the equipment. The plaintiff alleges Grain Densification continues to hold possession of the disputed equipment, which the lawsuit states is valued at $200,000. The lawsuit also states that the contract provides for attorney fees incurred in the event of collections or repossession.

The plaintiff is seeking damages in the amount of $246,449.56, which includes the cost of the equipment plus attorney fees. The bank is represented by Kenneth D. Peters of Dressler Peters, LLC in Chicago.

Madison County Circuit Court case number 2022LA000412

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