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Full-Text Articles in Banking and Finance Law
Bills And Notes -"Massachusetts" Trust- Liability Of Trustee Under Section 20 Of The N. I. L
Bills And Notes -"Massachusetts" Trust- Liability Of Trustee Under Section 20 Of The N. I. L
Michigan Law Review
Plaintiff sued the trustee of a realty business trust in his personal capacity on three notes signed by him as follows: "Robert J. Smith, Trustee of Fair Haven Estates." The notes were given in payment of the purchase price of certain land sold by the plaintiff to the defendant, which was secured by a purchase money mortgage. The indenture of trust under which the business was carried on, and which was recorded, provided that all persons who did business with the organization should look only to the trust funds for reimbursement, and neither the trustee nor the shareholders should be …
Bills And Notes - Bad Faith On Part Of Pledgee Taking Bonds
Bills And Notes - Bad Faith On Part Of Pledgee Taking Bonds
Michigan Law Review
Defendant, a Wisconsin firm, issued certain bearer bonds secured by a mortgage held by the T corporation, as trustee. A provision in the mortgage defining the duties of the trustee in the disposition of bonds delivered to it was incorporated into the bonds by reference. The trustee being insolvent, plaintiff bank, as pledgee of some of the bonds taken to secure personal loans to the trustee, petitioned the referee in bankruptcy for permission to sell them, claiming to be a bona fide pledgee for value. Held, since federal courts are bound to follow state decisions interpreting state statutes declaratory …