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HEVERN v. WALTER E. HELLER WESTERN, INC.

86-453 CV; CA A48890.

796 P.2d 1229 (1990)

103 Or.App. 200

Gordon HEVERN and Lily Hevern, Respondents — Cross-Appellants, v. WALTER E. HELLER WESTERN, INC., Aka Heller Financial, Inc., Appellant — Cross-Respondent.

Court of Appeals of Oregon.

Decided August 29, 1990.

Attorney(s) appearing for the Case

Rene A. Torrado, Jr., Chicago, Ill., argued the cause, for appellant — cross-respondent. On the briefs were Joseph M. VanLeuven and Ragen, Tremaine, Krieger, Schmeer & Neill, Portland.

Bruce Huffman, Klamath Falls, argued the cause and filed the briefs, for respondents — cross-appellants.

Before RICHARDSON, P.J., and NEWMAN and DEITS, JJ.

NEWMAN, Judge.

In May, 1984, defendant extended financing to Stateline Forest Products, Inc., a lumber company (Stateline). In June, plaintiffs sold logs to Stateline. In late August, Stateline defaulted on its log payments to plaintiffs and later declared bankruptcy. In June, 1986, plaintiffs brought this action for negligence, fraud and outrageous conduct. They claimed that defendant had promised that it would guarantee payment of the amount that Stateline owed...

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