Banco Nacional De Credito Ejidal S. A. v. Bank of America
Opinion
Opinion
Roche, J.
Defendant Tillie Weisberg, in the month of February, 1948, on behalf of Flotill Products, Inc. (co-defendant in this action) went on a trip to Mexico to investigate a source of canned pineapple for said corporation. The pineapple decided upon for purchase was growing in the State of Vera Cruz, Mexico, and was under the control of the plaintiff, a Mexican Agricultural Bank which had financed the pineapple growers.
Before a contract between the plaintiff bank and Mexican growers on one hand, and the Lone Star Mexican Corporation, the actual purchaser, on the other hand, was signed, a Nevada corporation, called the Tex-Mex Corporation, of which Tillie Weisberg was a major shareholder was organized for the purpose of holding shares in other corporations, Among its holdings was the majority shares in the Lone Star Mexican Corporation.
Plaintiff required as a part of the sales contract that a revolving letter of credit be issued for the benefit of said bank and the growers of pineapple in the amount of $60,000. Tillie Weisberg, acting as agent for the Lone Star Mexican Corporation, had the Bank of America issue the required letter of credit.