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GARDNER V. CHICAGO TITLE & TRUST CO., 261 U. S. 453 (1923)

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U.S. Supreme Court

Gardner v. Chicago Title & Trust Co., 261 U.S. 453 (1923)

Gardner v. Chicago Title & Trust Company

No. 317

Argued March 15, 1923

Decided April 9, 1923

261 U.S. 453


A state bank, holding a secured note, the maker of which became a bankrupt, itself went into insolvency proceedings under the state law after it had accepted, with knowledge of the bankruptcy, deposits of funds of the bankrupt estate made by the trustees in bankruptcy, who were not shown to have known of the note at the time.

Held that the bankruptcy court should allow the bank's claim for the amount due on the note, above the value of the security, but withhold dividends until the debt due the trustees had been paid. P. 261 U. S. 56.

278 F.5d 9 reversed.

Certiorari to an order of the circuit court of appeals directing dismissal of a petition for set-off made by a trustee in bankruptcy. chanroblesvirtualawlibrary

Page 261 U. S. 455

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