Opinion ID: 498009
Heading Depth: 2
Heading Rank: 2

Heading: The Financing Agreement

Text: 20 The Bank contends that both the documentary evidence and the conduct of the three parties involved establish an enforceable financing agreement. It argues that the financing agreement was not a guarantee, i.e., a suretyship, subject to the Statute of Frauds, and therefore, the district court's focus on the Florida Statute of Frauds is inappropriate in this case. 21 Ballenger contends that no contract existed between it and the Bank and that no direct evidence indicates a contract with certain and definite terms. 22 In reviewing the factual findings of the bankruptcy court, this court must accept the findings unless they are clearly erroneous. In Re Greenbrook Carpet Co., Inc., 722 F.2d 659 (11th Cir.1984). This is so particularly when the findings have been affirmed by the district court. In Re Chalik, 748 F.2d 616 (11th Cir.1984). 23 The documents which allegedly constitute Ballenger's financing agreement to pay T & B's debt consist of four letters from Ballenger to the Bank. Applying the standard of review gleaned from the Adler case, the district court independently examined each of these letters, identifying the pertinent language. The court properly concluded that these four letters do not create an enforceable financing agreement. A binding and enforceable contract requires mutual assent to certain and definite contractual terms. Without a meeting of the minds on all essential terms, no enforceable contract arises. Webster Lumber Co. v. Lincoln, 94 Fla. 1097, 115 So. 498 (1927); O'Neill v. Corporate Trustees, Inc., 376 F.2d 818 (5th Cir.1967). The district court found that, even if the four letters could be considered a financing agreement, Florida Statutes Sec. 725.01, Florida's Statute of Frauds, renders it unenforceable as a special promise to answer for the debt, default or miscarriage of another person. Section 725.01 requires that such an agreement or promise be in writing and signed by the party to be charged. Moreover, to comply with the statute under Florida law, the writing must contain the essential terms of the agreement. First Guaranty Corporation v. Palmer Bank & Trust, 405 So.2d 186, 188 (2d D.C.A.1981). Having reviewed the content of the four letters, the district court held that the letters, read together, do not contain the essential terms of Ballenger's purported agreement to pay T & B's debt, as required by Florida's Statute of Frauds. The Bank has not convincingly demonstrated to this court how the bankruptcy court's findings are clearly erroneous. We therefore affirm the district court on this issue.