Lubbock judge orders Bart Reagor to pay Vista Bank nearly $1.8 million
LUBBOCK, Texas (KCBD) - A Lubbock District Judge has ordered Bart Reagor to pay Vista Bank $1,792,605.39. The order was granted by District Judge Ruben Reyes on Monday, Dec. 2.
The order states Bart Reagor is to pay Vista Bank $1,478,182.35; plus post default interest in the amount of $278,093.04 and $36,330 in attorney fees.
In March, Vista Bank filed a civil lawsuit in Lubbock County court against Bart Reagor saying he is personally in default $1,448,401.23 on a loan, because he signed a personal guarantee on the note.
Court documents say on May 5, 2017, Reagor Dykes Auto Group executed a promissory note payable to Vista Bank in the principal amount of $3 million.
On May 4, 2018, the parties extended the Promissory Note’s maturity date to May 5, 2019, but no other changes were made to the Promissory Note’s terms, according to the court documents.
The lawsuit states the Reagor-Dykes entities defaulted by not making payments when they were due, with the last payment occurring on July 6, 2018, and by commencing bankruptcy proceedings.
Bart Reagor signed a commercial guaranty incorporated into the promissory note, unconditionally guaranteeing to pay Vista Bank all principal, interest, collection expenses, and attorneys’ fees.
The lawsuit states on or about August 1, 2018, Reagor-Dykes Auto Group defaulted on the Promissory Note for lack of timely payment on the Promissory Note and by commencing bankruptcy proceedings. Because of this, Defendant, as the personal guarantor of such debt is liable on the indebtedness.
The lawsuit says despite a demand for payment, Reagor has failed to make full payment of the balance of the promissory note.
“Vista’s suit was filed after Mr. Reagor ignored multiple attempts to have him fulfill his personal obligations. Though not adding to Vista’s overall exposure with regards to Reagor-Dykes Auto Group, this lawsuit became a necessary step in recovery,” said Vista Bank’s attorney Fernando Bustos in a news release in March.
In June, Bart Reagor said “We’ve paid Vista Bank back.”
In the initial response to the lawsuit, Reagor’s attorneys objected to the lawsuit based on the facts that Vista Bank failed to prove the conditions for meeting the loan were not met, and that Reagor revoked his guaranty of the loan before the lawsuit was filed.
On Thursday afternoon a new ‘amended original answer’ was filed with the court that reiterates those arguments, but adds the loan was repaid with monies from CD’s Reagor and Dykes held with Vista Bank, as well as money from the personal accounts of Reagor and his wife.
Reagor’s attorney previously argued Vista Bank “ignored multiple attempts to have him fulfill his personal obligations.”
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