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VAN PETTEN v. OREGON BANK

No. 13,886-L; CA 11034.

600 P.2d 507 (1979)

42 Or.App. 367

Paul E. VAN PETTEN and Builders Equity, Inc., an Oregon Corporation, Appellant, v. The OREGON BANK, Respondent.

Court of Appeals of Oregon.

Decided September 24, 1979.

Attorney(s) appearing for the Case

Allen L. Johnson, Eugene, argued the cause for appellant. With him on the briefs was Lombard, Gardner, Honsowetz, Johnson & Brewer, Eugene.

Barbee B. Lyon, Portland, argued the cause for respondent. With him on the brief was Tonkon, Torp & Galen, Portland.

Before SCHWAB, C.J., LEE and GILLETTE, JJ., and PETERSON, Judge Pro Tem.

PETERSON, Judge Pro Tem.

The trial court sustained a demurrer to the plaintiffs1 fourth amended complaint, and a judgment was entered for the defendant after the plaintiff's fifth amended complaint was stricken.

The principal issue on this appeal is whether a lender may be liable in contract to a guarantor for breach of an agreement to lend money to a third person.2

Plaintiff alleged that it...

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