MEMORANDUM OPINION AND ORDER
This is a diversity action for breach of an agreement to lease two buses. For the reasons that follow, plaintiff's motion for summary judgment against defendants Borvig Corp. and Gary Schulz is granted.
Plaintiff LCA Leasing Corp., and its predecessor LSA Leasing Corp. ("LCA" or "LSA"),
is in the business of, among other things, leasing equipment. Aff. of James J. Ragan dated September 1992 ("Ragan Sept. Aff.") P 5. Defendant Gary Schulz ("Schulz") is President of defendant Borvig Corp. ("Borvig") and non-party Berthoud Pass Ski Corp. ("Berthoud"). Aff. of Gary Schulz dated January 19, 1993 ("Schulz Aff.") P 1. On or about November 31, 1989, LSA agreed to lease two Champion Challenger Model 3241 passenger buses (the "buses") to Borvig and Berthoud (the 1989 lease). Schulz Aff. P 2. On or about April 1, 1990, Borvig and Berthoud defaulted on the 1989 lease. Ragan Sept. Aff. P 10. LSA repossessed the buses on or about June of 1990. Schulz Aff. P 2.
By letter dated November 16, 1990, LSA offered Berthoud, Borvig and Schulz, inter alia, a new lease on the buses. Ragan Dec. Aff. P 12. The letter detailed a monthly payment schedule for a term of sixty-five (65) months:
"Option 2, we will offer you a new lease on these buses structured as follows. The lease would start, 1 December, 1990 and run for 65 months and would entail an initial 1 December, payment of $ 2,800 followed by 6 monthly payments at $ 2,800, then 5 payments at $ 200. In the second through the fifth years, there are in each year seven payments of $ 3,705.17 followed by five payments of $ 200. Payments 61 to 65 are $ 3,705.17 each."