was an SBA guaranteed loan, Cathey could not assert state law defenses because federal law controlled all contractual rights under the loan documents, as elected by the lender.

 

Choice of law provisions contained within an instrument will determine the laws to be applied in any action to recover debt in most cases.  Thus, such a choice should be made carefully and with the assistance of counsel.

 

                 This case is cited as LPP Mortgage, Ltd. V. Cathey, 2006 U.S. Dist. LEXIS 32560 (W.D. La. May 23, 2006).

 

Upcoming Seminars

 

             On Wednesday, December 6 in our Bethesda office, and again on Wednesday, December 13 in our office in McLean, Virginia, Larry Lerman will be presenting a seminar for lenders and real estate professionals entitled “Understanding Insurance Coverages and Controlling Insurance Proceeds:  A Primer for Lenders and Landlords.”  Additional information will be posted on our website, and invitations will be sent out soon.  If you have additional questions, please contact Benjamin Harris at bjharris@lerchearly.com, or at 301-961-6096.