- 27 - the EOA and the covenant not to compete clause therein. Indeed, in its modified judgment the State court did not even address whether Henry was an accommodation party as to the FirsTier note-–the only reference to Henry’s status as an accommodation party was in the postjudgment journal entry. In this case, the issue we must decide is whether Henry and Esther are the primary obligors on the FirsTier note. The issues are not identical; thus, the first requirement is not met. The remaining two requirements for collateral estoppel to apply also are not met in this case. In United States v. International Bldg. Co., supra at 506, the Supreme Court held that A judgment entered with the consent of the parties may involve a determination of questions of fact and law by the court. But unless a showing is made that that was the case, the judgment has no greater dignity, so far as collateral estoppel is concerned, than any judgment entered only as a compromise of the parties. In this case, the State court did not enter a judgment regarding whether Henry and Esther were primary obligors or accommodation parties with respect to the FirsTier note. Rather, it simply made a journal entry that referred to Henry as an “accommodating Party” in connection with a settlement of “certain conflicts which have arisen in regards to the amount payable pursuant to * * * the Modified Judgment”. Henry and Esther made no showing whatsoever as to the nature of the journal entry or that it embodied determinations of fact and law by the State court.Page: Previous 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 Next
Last modified: May 25, 2011