NELS appeals regarding the trial justice’s granting away from RISLA’s motion for summation judgment for the NELS’s counterclaim

Mainly because financing are in fact recognized as bought with solution money, RISLA claims you to definitely NELS manages to lose its contractual right to solution this type of money, and this NELS need stop all of the liberties and records to these finance in order to RISLA

Within the filing its expose allege, RISLA asserts that pleasure of its indebtedness so you can SLMA which have proceeds out of then approach resource (Healthcare Trust and you may thread-procedure money) turns fund very first purchased which have loans received from the RISLA out-of SLMA to your money ordered pursuant to help you choice financing.

This translation deprives NELS of its right to service college loans that have been ordered which have enhances pursuant on the 1984 repair agreement since the interpreted from the trial fairness in RISLA We Mississippi payday loans. In the rejecting RISLA’s conflict, we adopt brand new demo justice’s need on the instant action: « As previously mentioned in earlier times, the challenge of if RISLA is obligated to send so you’re able to NELS a minimum of $200 mil worth of figuratively speaking to have upkeep are necessarily increased throughout the Revised Problem which will be res judicata. On the other hand, the issue off changing RISLA’s initially ordered loans on the funds ordered with approach investment was fundamentally raised and is also res judicata. [New 1986 demonstration fairness] determined that NELS contains the right to solution college loans ordered which have enhances beneath the 1984 financing agreement. [New 1986 demo justice’s] use of the term improves need to be offered the ordinary and typical definition. »

We concur that the RISLA We governing concluded that NELS try eligible to service financing which were first obtained that have SLMA advances, no matter RISLA’s further financial moves so you’re able to reclassify the latest finance. This governing must be given res judicata feeling and should not be distorted with misinterpretation otherwise misapplication away from what was actually felt like. Accordingly RISLA’s desire with the denial of the action to have summary view to the the complaint and you will dismissal of its grievance was rejected.

Meant for the appeal NELS claims you to definitely: (1) bottom line view could not feel securely offered once the checklist reveals unchallenged life regarding disputed issue reality, and you will (2) you to NELS’s counterclaim wasn’t that will not be decided when you look at the the original litigation and that is therefore not barred due to the fact res judicata. Due to the fact we discover you to NELS’s counterclaim are prohibited just like the res judicata we really do not address the trouble out-of existence out-of disputed procedure fact.

To locate you to definitely NELS was banned away from increasing its counterclaim, we once again look to the new says elevated and concluded issue, infra, generally tried a statement out of RISLA’s obligations under the after the recital throughout the money arrangement:

Inside getting a decision about 1986 lawsuits, the newest demo fairness proclaimed your repair agreement are valid, and then he governed the maintenance arrangement used « only to student loans gotten which have money received of the plaintiff [RISLA] regarding beneath the capital agreement dated Will get 8, 1984

« While, the brand new Debtor [RISLA] features requested enhances on Bank [SLMA] inside an aggregate level of around $200 million which amount could well be utilized by the newest Borrower when you look at the obtaining and you can refinancing finance generated underneath the Secured Student loan System established because of the Degree Act out-of 1965. »

When you look at the fashioning their buy, the demonstration fairness from inside the RISLA I ruled that the servicing contract applies « merely to figuratively speaking obtained with loans received of the plaintiff Rhode Isle Education loan Authority off *722 the fresh new Student loan Product sales Organization under the resource arrangement old Will get 8, 1984. » NELS very first filed an attract that it governing but after that withdrew their appeal. Inside withdrawing the attention, NELS necessarily decided to your trial justice’s translation of the legal rights under the repair arrangement. Accordingly NELS was banned away from relitigating the issue.