84 Lumber Company, L.P. v. David Powers, 393 S.W.3d 299

84 Lumber extended credit to David Powers Homes, Inc. and obtained a credit application signed by Powers with corporate designation.
The application contained a guaranty language stating Powers personally guaranteed the credit account and related amounts.
The signature block showed Powers as owner/president, with handwritten ‘President David Powers’ and ‘as officer’ noted on the date line.
The account became delinquent and suit was brought against Powers, Powers Homes, and Sherry Jessup; Jessup was later released, leaving Powers and Powers Homes as defendants.
The trial court entered a later final judgment granting summary judgment against Powers Homes and denying Powers individually; Powers then moved for summary judgment against 84 Lumber and cross-moved for judgment in his favor.
The court ultimately held Powers personally liable as guarantor for the debt of Powers Homes and rendered judgment accordingly.

Issue	Plaintiff's Argument	Defendant's Argument	Held
Is Powers personally liable as guarantor under unambiguous language	Powers’s signature below guaranty language binds him personally.	Signature in corporate capacity plus ambiguities and statute of frauds may preclude personal liability.	Powers is personally liable.
Does the guaranty satisfy the statute of frauds	Signature with corporate designation still binds individually under the guaranty.	Guaranty lacks a personal signature that meets the statute of frauds.	Guaranty satisfies the statute of frauds; personal liability is enforceable.
Scope of the guaranty to purchases by related entities	Liability extends to all purchases by Powers Homes as the principal debtor.	Liability should be limited to Powers Homes’ purchases; Mayfield considerations apply.	Guaranty extends to the debt of Powers Homes; Powers is liable for the principal’s obligations.

Austin Hardwoods, Inc. v. Vanden Berghe, 917 S.W.2d 323 (Tex. App.—El Paso 1995) (corporate-officer signing personal guaranty implied by language)
Taylor-Made Hose, Inc. v. Wilkerson, 21 S.W.3d 484 (Tex. App.—San Antonio 2000) (signature indicating personal liability when contracting with corporate debt)
Material P’ships, Inc. v. Ventura, 102 S.W.3d 252 (Tex. App.—Houston [14th Dist.] 2003) (signature followed by corporate title can still create personal liability)
Material Partnerships, Inc. v. Sacos, 102 S.W.3d 255 (Tex. App.—Houston [14th Dist.] 2003) (descriptio personae context supports personal guaranty interpretation)
Coker v. Coker, 650 S.W.2d 391 (Tex. 1983) (unambiguous contract interpretation; effect of language on liability)