Reference no: EM133410811

Question

In Chapter 25, we looked more in depth at personal liability for signing company notes and checks.

American Music Industries, Inc., owed Disneyland Records over $340,000. As evidence of the debt, Irv Schwartz, American's president, issued ten promissory notes, signing them himself. There was no indication they were obligations of the corporation, American Music Industries, Inc., or that Irv Schwartz signed them in a representative capacity, but Mr. Schwartz asserted that Disneyland knew the notes were corporate obligations, not his personally. American paid four of the notes and then defaulted, and Disneyland sued him personally on the notes. He asserted he should be allowed to prove by parol evidence that he was not supposed to be liable. Is he personally liable? Explain. Schwartz v. Disneyland Vista Records, 383 So.2d 1117 (Fla. App. 1980).