Now that the foreclosure sale of Lauren James’ merchandise is over, First Security Bank of Searcy wants to move forward and have a judgment placed against the women’s clothing company and its owners for defaulting on a loan.
If you recall, the Searcy bank filed unsuccessful motions to stop the Aug. 7 sale, held at Lauren James’ office in Fayetteville.
First Security said Lauren James owed it $338,720 for a defaulted business loan and the bank wanted to claim the apparel company’s assets, which were used as collateral.
At the end of July, the newly formed LJ Apparel LLC, however, also said it was owed money by Lauren James and announced that LJ Apparel was going to hold the sale of the Lauren James merchandise.
First Security said last week in a letter to Washington County Circuit Judge Doug Martin that since its request for Lauren James’ assets “has been rendered moot as a result of the foreclosure sale,” it wants him to rule on the pending motion for summary judgment in favor of the bank.
The bank said it would accept Lauren James’ claim that the amount owed on the loan is just under $330,000.
The amount, however, doesn’t include attorneys’ fees and costs, which First Security requests it be awarded as well.
Lauren James’ owners, Lauren and Lance Stokes, personally guaranteed the loan.
First Security is represented by Gary Jiles of the Millar Jiles law firm of Conway.
As of Thursday, Martin had not responded to First Security’s request.
A spokesman for Lauren James didn’t return a request for comment after the foreclosure sale.
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