The moving parties, who were guarantors of a mortgage, sought summary judgment against the mortgagor corporation for indemnity after the mortgage fell into default.
The moving parties had not yet made any payments toward the mortgage debt.
The court dismissed the motion, finding that under the terms of the mortgage and the common law of subrogation, a guarantor's cause of action against the principal debtor does not crystallize until the guarantor actually makes a payment on the debt.
