Seneca Communications, Inc. v. International Bank

This appeal is taken from an order of dismissal entered after International Bank of California’s (hereinafter IBC) general demurrer to Seneca Communications’ (hereinafter Seneca) third amended complaint was sustained without leave to amend.

Plaintiff-appellant Seneca instituted these proceedings against defendant-respondent IBC to recover damages in the amount of $19,242 resulting from two separate shipments of merchandise delivered to E.M. Tripp Company (hereinafter Tripp) on open account, for which Seneca has not been paid and cannot collect from Tripp because of the fact that the latter is and was insolvent before the date of initial shipment.

Appellant Seneca is a merchant located in the State of New York, and was there engaged in the assembly and sale of videotape recorder systems and related merchandise. The problem before us began when Tripp, a California corporation at the time, placed an order, in early October 1977, for $9,621 in merchandise from Seneca. Wishing to verify Tripp’s ability to pay for the merchandise, before shipping it from the east coast, Seneca requested that the party placing the order, Richard M. Mitman (at the time holding himself out as…