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Dave Kennett
Dave Kennett, Attorney
Category: Business Law
Satisfied Customers: 27689
Experience:  25 years practicing law
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Because of the economy, i have had to shutter a restaurant,

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Because of the economy, i have had to shutter a restaurant, where, although we have an L.L.C, I had to sign a personal gurantee on the loan and on the lease. I am dealing with the bank on the loan, but in the case of the landlord, we have had a full judgement against the L.L.C. for the default lease, and attorneys fees. We were not mentioned individually in that case as personal guarantors. I am told that Res Judicata should prevail in this case, because it is the dutie of the plaintiff's attorneys to name all potential entities in the first case. They have now applied for a second case with the same tenants and i have 20 days to respond. They name the exact same amounts we are in default for, along with the attorneys fees in this new case. what do you think?
Dear JACUSTOMER - I would agree that you may have a good argument for res judicata however if you fail to respond to the second suit you will end up with a default judgment. If you have a defense to a suit you have to file an answer and assert your defense as an affirmative defense. You can't simply ignore the suit because you h=may have a defense. So you need to get an answer filed and deny the claims and assert your defense.
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