James A. Graham
NEW ORLEANS – A Louisiana attorney and his companies owe more than $1 million after defaulting on a promissory note, a Georgia-based bank alleges.
Plaintiff Community Bank and Trust-West Georgia filed its lawsuit in the U.S. District Court for the Eastern District of Louisiana Nov. 4.
The named defendants include The Law Office of James A. Graham LLC, GH Waste Services LLC, The Healthy School Food Collaborative LLC, James Graham, and Dionne Graham.
James Graham, a resident of St. Tammany Parish, is listed as the executive director of the Healthy School Food Collaborative and a managing partner at Graham Law & Associates in New Orleans.
According to the filing, in April 2022 Graham’s law firm sought and obtained a loan in the amount of $1,148,000 plus interest, fees, costs, and expenses.
The note required Graham’s firm to pay principal and interest payments of $12,889.76 every month, starting on May 5, 2022. The remaining payments were due on the same day of every month thereafter, until paid in full.
Community Bank alleges the firm failed to make a payment on the note when it was due.
The note – which was originally owned by Fountainhead before transferring ownership to Community Bank – currently is in default, the bank alleges.
According to the note’s guaranty, James himself must pay all amounts due under the note and the lender “is not required to seek payment from any other source before demanding payment from James.”
A guaranty is a pledge or written promise to pay another’s debt or fulfill their obligation if they default.
The guaranty provides that “James is obligated to pay ‘all expenses Lender incurs to enforce this Guarantee, including, but not limited to, attorney’s fees and costs,’” the filing states.
Community Bank alleges it notified the law firm of its default and demanded repayment in a letter dated Aug. 7.
It claims it also notified Graham himself of the firm’s default and demanded repayment of the indebtedness in a letter dated Oct. 28.
“Despite amicable demand, Defendants have not paid the Note,” the bank wrote in its filing. “Guarantors are now expressly liable for the amounts due and owing.”
Community Bank seeks $954,738,69 plus accrued and unpaid interest of $77,961.06 as of Nov. 1 and interest thereafter at the rate of $237.74 per diem.
New Orleans firm Kean Miller LLP is representing the bank in the federal lawsuit.
