Opinion ID: 552196
Heading Depth: 3
Heading Rank: 4

Heading: RBI's Breach

Text: 134 RBI makes two attempts to avoid the district court's summary judgment on its absolute and unconditional Promissory Note in Hutton's favor for $48,072,882.51 plus interest. 135 First, RBI offers evidence that Hutton's Deputy Controller, Richard Carborne, did not base his affidavit establishing the amount that RBI owes Hutton on personal knowledge. See Fed.R.Civ.P. 56(e). But RBI admitted the amount that it owed Hutton in its trial pleading and the Participation Agreements. 16 Furthermore, Haralson admitted on deposition that Hutton advanced approximately $48 million under the Note. This evidence of the amount due Hutton on the Note supports the district court's summary judgment independent of Carborne's affidavit. 136 Next, RBI invokes the Uniform Commercial Code's Section 9-504 17 to argue that Hutton may not obtain a deficiency judgment against RBI before proving proper disposition of collateral, which in this case was Mercury's stock. But RBI offers no evidence that Hutton has disposed of Mercury's stock. Hutton still has the stock certificates. We reject as frivolous RBI's contention that Hutton destroyed the stock's value by making disparaging statements about Mercury to regulators and therefore disposed of the stock within Section 9.504's meaning. Even if Hutton made such statements, it was Aubin and Haralson's mismanagement of the S&Ls, not Hutton's statements, that caused the FHLBB to place the S&Ls in conservatorship. The district court's summary judgment against RBI is affirmed.