HUNTINGTON -- A man who loaned money to a start-up business is suing the business and business owner over money owed.
John Patterson filed a lawsuit July 3 in Cabell Circuit Court against Clip, Tan & Toe L.L.C. and Alyee Schultz, citing a default on debt.
The lawsuit states Patterson accepted a promissory note for Clip, Tan & Toe on April 26, 2013, in the amount of $148,500 with Schultz signing the guarantee and the business entering a security agreement. According to the complaint, $50, 953.78 remained owed as of July 4, 2014.
Patterson also loaned $10,000 for start-up costs April 26, 2013, according to the complaint. Patterson foreclosed on the property in May 2014. The plaintiff purchased the property for $100,000 paid with a credit bid against the outstanding amount, the complaint said. Schultz has refused to surrender property, according to the complaint.
Patterson is seeking damages that cover the amount owed in both loans, plus additional interest, a court to validate the lien on collateral and to order surrender of property and items, the defendant to vacate the property and to order the sheriff to force them to vacate if necessary, and court costs.
Patterson is represented by Natalie Corrigan of Campbell Woods P.L.L.C. of Huntington. The case has been assigned to Circuit Judge F. Jane Hustead.
Cabell Circuit Court Case 14-C-485
Man who helped start business wants money back
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