CARELLA v. SCHOLET


5 A.D.3d 972 (2004)

773 N.Y.S.2d 763

JOHN J. CARELLA et al., Individually and as Limited Partners on Behalf of SCHOLET BUILDING ASSOCIATES, Appellants, v. RICHARD L. SCHOLET et al., Individually and as General Partners of SCHOLET BUILDING ASSOCIATES, et al., Respondents.

Appellate Division of the Supreme Court of the State of New York, Third Department.

March 25, 2004.


Crew III, J.

Defendants Richard L. Scholet and Jean R. Scholet were the owners of a building on Main Street in the Town of Cobleskill, Schoharie County, out of which they operated a furniture business. In 1979, the Scholets borrowed $450,000 from Marine Midland Bank subject to a mortgage and used the proceeds to renovate the Main Street building. When the furniture business began experiencing financial difficulties and the Scholets were unable to meet the debt service...

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