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Opinion 7

Case Name: 

Neve-Welch Enters., Inc. v. Twelves (In re Tri-Power Elecs., Inc.)

Judge: 
Judge Mabey
Date: 
Nov-29-1979
Case Number(s): 
79-0467
Status: 

UNPUBLISHED

Body: 

Plaintiff brought its own merchandise and sales people to debtor's business to participate in debtor's "close-out sale." All proceeds of the sale were deposited into debtor's account with bank, and debtor thereafter authorized bank to issue a cashier's check to plaintiff in the amount of plaintiff's sale proceeds. Debtor then filed bankruptcy and bank stopped payment on the cashier's check. Plaintiff filed a complaint in the bankruptcy for reclamation, and debtor responded that its obligation to plaintiff had been satisfied by bank's issuance of the check. The court agreed, noting that plaintiff's remedy must be sought from bank, the drawer and drawee of the check. The complaint was dismissed.

Internal Ref: 
Opinion 7
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