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contracts to purchase/personal guarantees to secure loan from bank

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C

chipman

Guest
What is the name of your state? Tennessee
Three of us are buying commercial property (closed business). We have signed a purchase agreement pending loan approval. We have paid a down payment for equipment with the balance for property/buildings to be loaned from a bank. Assets are 150% of loan. Bank wants personal guarantee fromeach of us for full loan amount which third person said we would not have to do (third person is majority owner and instigated loan process). Two of us will not sign personal guarantee. Doesthis make the loan invalid?
What legal aspect could we expect from third party if loan is not approved because we will not sign personal guarantee?.
 



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