BANKS AND BANKING - LAND CONTRACT AS ITEM FOR COLLECTION UNDER THE BANK COLLECTION CODE

Authors

Abstract

The petitioner deposited with A Bank a land contract. The bank was to collect payments thereon and remit them to the petitioner. After making two collections amounting to $100, the bank became insolvent and the petitioner sought a preferred claim against all the assets of the bank. The Bank Collection Code (sec. 13 of Act No. 240 of the Public Acts of Michigan, 1931) was the basis of his claim. The trial judge allowed him a preference as to cash assets on hand at the time the receiver took possession. Since it was doubtful whether there would be any cash assets the petitioner appealed. It was held, that the Code did not apply to land contracts. Reichert v. State Bank of Beaverton, 262 Mich. 157, 247 N. W. 139 (1933).

Recommended Citation

BANKS AND BANKING - LAND CONTRACT AS ITEM FOR COLLECTION UNDER THE BANK COLLECTION CODE, 31 Mich. L. Rev. 1153 (1933).
Available at: https://repository.law.umich.edu/mlr/vol31/iss8/13