Quiz 28: Banking in the Digital Age
Probably not. Because the guaranty was for such an astronomical amount, an oral agreement would not suffice. Furthermore, the court relies on the fact that the husband had a full, written copy of the contract in his possession and that the promissory note signed by the wife had a reference to this full contract. If those two documents had not been in existence, there would be considerably less proof to the existence of a contract.
Artisan's Lien. Yes, E A can establish an artisan's lien on the plane as craftsperson's lien arises when debtor does not pay for the labor and materials equipped for the enhancements or for the repair of personal property. In such case, creditor can recover payment through artisan's lien. In this case, A R failed to pay the money owed by them for the fuel and oil which could be considered as the material equipped for the enhancement of personal property and hence, E A from whom they have taken the money can exercise craftsperson's lien.
In this case, the husband is the principal debtor as he is the one taking out the loan. His wife is the guarantor, as she is the safeguard in case her husband defaults.