Leonard M. Salter, Trustee v. Guaranty Trust Company of Waltham
Cases that cite this one
12 later published cases cite this decision.
- Gray v. Travelers Insurance (In re Neponset River Paper Co.) (United States Bankruptcy Court, D. Massachusetts 1998)
- CCI Construction Co. v. Allfirst Bank (In re CCI Construction Co.) (United States Bankruptcy Court, M.D. Pennsylvania 2007)
- Nordberg v. Arab Banking Corp. (In re Chase & Sanborn Corp.) (United States Bankruptcy Court, Southern District Florida 1991)
- John G. Marshall v. Jose E. Perez-Arzuaga, Appeal of Avis Rent-A-Car of Puerto Rico, Inc. (1st Cir. 1989)
- DuVoisin v. Anderson (In re Southern Industrial Banking Corp.) (United States Bankruptcy Court, E.D. Tennessee 1988)
- Merril v. Dietz (In re Universal Clearing House Co.) (District Court, D. Utah 1986)
- Merrill v. Abbott (In re Independent Clearing House Co.) (United States Bankruptcy Court, D. Utah 1984)
- In re Roco Corp. (United States Bankruptcy Court, D. Rhode Island 1984)
- Fisher v. Smith (In re Medico Associates, Inc.) (United States Bankruptcy Court, D. Massachusetts 1982)
- Constructora Maza, Inc. v. Banco De Ponce (1st Cir. 1980)
- Robinson v. Watts Detective Agency, Inc. (District Court, D. Massachusetts 1980)
- Philip I. Palmer, Jr., Etc. v. Radio Corporation of America (5th Cir. 1971)
This list shows which later cases cite this one. It does not say how they treated it, and no review of that has been done. Not a substitute for Shepard’s or KeyCite — verify before relying.
Opinion
This is an action brought by a trustee in bankruptcy under .§ 60, sub. b, of the Bankruptcy Act as amended, 11 U.S.C.A. § 96, sub. b, to recover certain alleged preferential payments made by the bankrupt to its creditor, the defendant Trust Company, on various dates during the month of December 1952. The District Court, sitting without a jury, found that the payments were made as alleged but that, except as to the last payment of $900 on December 26, the trustee had not sustained his burden of proving that when they were made the officer of the Trust Company in charge either knew or had reasonable cause to believe that the payor was insolvent. It thereupon entered judgment for the plaintiff in the sum of $900 and costs, and the plaintiff seasonably brought the case here on appeal.
Whether the debtor was insolvent when the payments were made to the Trust Company, and whether the Trust Company through its managerial officers knew or had reasonable cause to believe when it received the payments that the debtor was insolvent, are questions of fact. Kaufman v. Tredway, 1904, 195 U.S. 271, 273, 25 S.Ct. 33, 49 L.Ed. 190. It will suffice to say that a careful examination of the testimony and exhibits discloses ample evidentiary support for the findings made by the court below.
It erred, however, as counsel for the appellee conceded at oral argument, in not awarding interest on. the amount of its judgment from the date when the action was brought. Kaufman v. Tredway, supra; Elliotte v. American Savings Bank & Trust Co., 6 Cir., 1927, 18 F.2d 460, 462; Plymouth County Trust Co. v. MacDonald, 1 Cir., 1932, 60 F.2d 94, 97. That is to say, the principal of the judgment entered by the District Court should have been in the sum of $900, augmented by interest on *448 that sum from the date of the filing of the complaint by the trustee to the date of judgment. Then, of course, the final-judgment of the District Court in the amount thus augmented will automatically bear interest from the date of the judgment to the date of.payment, in' accordance with the mandatory provision of 28 U.S.C. § 1961. See MooreMcCormack Lines, Inc., v. Amirault, 1 Cir., 1953, 202 F.2d 893, 895.
The judgment of the District Court is vacated and the case is remanded to that Court with direction to enter a modified judgment for the plaintiff in conformity with this opinion. Appellee recovers costs on appeal.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.