432.047. Credit agreements, actions not to be maintained, when--credit agreement defined.

Credit agreements, actions not to be maintained, when--creditagreement defined.

432.047. 1. For the purposes of this section, the term "creditagreement" means an agreement to lend or forbear repayment of money, tootherwise extend credit, or to make any other financial accommodation.

2. A debtor may not maintain an action upon or a defense, regardlessof legal theory in which it is based, in any way related to a creditagreement unless the credit agreement is in writing, provides for thepayment of interest or for other consideration, and sets forth the relevantterms and conditions.

3. (1) If a written credit agreement has been signed by a debtor,subsection 2 of this section shall not apply to any credit agreementbetween such debtor and creditor unless such written credit agreementcontains the following language in boldface ten-point type: "Oralagreements or commitments to loan money, extend credit or to forbear fromenforcing repayment of a debt including promises to extend or renew suchdebt are not enforceable, regardless of the legal theory upon which it isbased that is in any way related to the credit agreement. To protect you(borrower(s)) and us (creditor) from misunderstanding or disappointment,any agreements we reach covering such matters are contained in thiswriting, which is the complete and exclusive statement of the agreementbetween us, except as we may later agree in writing to modify it.".

(2) Notwithstanding any other law to the contrary in this chapter,the provisions of this section shall apply to commercial credit agreementsonly and shall not apply to credit agreements for personal, family, orhousehold purposes.

4. Nothing contained in this section shall affect the enforceabilityby a creditor of any promissory note, guaranty, security agreement, deed oftrust, mortgage, or other instrument, agreement, or document evidencing orcreating an obligation for the payment of money or other financialaccommodation, lien, or security interest.

(L. 2004 H.B. 959)