Branch Banking & Trust Co. v. Nichols

Appellants Branch Banking & Trust Company ("BB&T"), Rusty Winfree, and Todd Fullington appealed a Circuit Court judgment in favor of Rex ("Sonny") and Claudene Nichols on the Nicholses' claims against the appellants, and on BB&T's counterclaim against the Nicholses. The dispute arose over loans made by BB&T's predecessor-in-interest, Colonial Bank. After a development loan was made, but before it could be paid back, Colonial became insolvent and entered receivership. BB&T purchased much of Colonial's assets, including the loan made to the Nicholses for development of their parcel. After refusing to extend the terms of the original Colonial loan, or to provide any additional funds to finish the development, the Nicholses stopped making payments on their loan and sued alleging fraud, reformation, negligence, wantonness, and breach of fiduciary duty against all appellants. Against BB&T, the Nicholses also alleged a claim of unjust enrichment and sought damages on a theory of promissory estoppel. After careful consideration, the Supreme Court concluded the circuit court erred in entering a judgment in favor of the Nicholses and on BB&T's counterclaim. The case was remanded for further proceedings. View "Branch Banking & Trust Co. v. Nichols" on Justia Law