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remainder of the loan from Caribank was to fund the construction
of 27 condominium units on the Kissimmee property.
As security for the Caribank loan, a portion of the
securities previously pledged by Mark Tietig for the Westfield
Financial loan was allocated to part of the collateral for the
Caribank loan.
In March 1988,9 petitioner, Eureka Field Nursery, Farm &
Grove, and Mark Tietig entered into a “First Amendment and
Supplement to Joint Venture Agreement” (amended joint venture
agreement). The agreement amended the terms of the joint venture
created in the September 19, 1983, agreement between Mark Tietig
and Eureka Field Nursery, and stated that Eureka Field Nursery
owed Mark Tietig $68,786.41 ($56,000 plus $12,786.41 interest),
which represented his original investment in the joint venture.
The agreement also provided that petitioner owed Mark Tietig
$230,000 for the “past and future use” of his securities. In
total, Mark Tietig was owed $298,786.41 under the agreement.10
Mark Tietig, however, was not limited to this amount in the event
that the remaining pledged securities were taken by Westfield
Financial. Paragraph 3 of the amended agreement stated that the
9The agreement states that it was made on Sept. 30, 1987;
however, in the upper left-hand corner of the agreement the date
Mar. 14, 1988, appears. Whether the agreement was in effect in
1987 or 1988 is irrelevant for the purpose of our analysis.
10Consisting of: $230,000 + $68,786.41 = $298,786.41.
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