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Non-profit organization sued over outstanding debt

SOUTHEAST TEXAS RECORD

Saturday, November 23, 2024

Non-profit organization sued over outstanding debt

A bank claims a non-profit organization in Beaumont has failed to repay it more than $70,000.

Wells Fargo Bank claims it extended a line of credit to Compassion Hospice. Defendant Allen Ayres acted as a guaranty on the account, promising to repay any outstanding debts, according to the complaint filed June 20 in Jefferson County District Court.

Compassion failed to make its payments and Ayres has also failed to perform his duties as guananty, the suit states.

"As of Nov. 2, 2010, after applying all lawful offsets and credits, there was due and owing the sum of $73,185.50 on account for unpaid principal balance, accrued interest and fees as provided for by the agreement and guaranty for the account," the complaint says.

Wells Fargo alleges breach of contract and unjust enrichment against the defendants.

In addition to the money it says it is owed, Wells Fargo is seeking post-judgment interest at the highest rate allowed by law, attorney's fees of at least $4,000, costs and other relief the court deems just.

Robert E. Jenkins, Jason Babb and Benita Faizy of Jenkins Babb in Dallas will be representing it.

The case has been assigned to Judge Gary Sanderson, 60th District Court.

Case No. B192-596

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