Bank of America Nat. Trust & Savings Ass'n v. Merchandise Nat. Bank of Chicago O'Riley v. Bank of America Nat. Trust & Savings Ass'n

At all pertinent times, Merchandise National Bank of Chicago, hereafter called plaintiff, was a national banking association located in Illinois and having its principal office at Chicago, Illinois; Bank of America National Trust & Savings Association, hereafter called defendant, was a national banking association located in California and having its principal office at San Francisco, California, and a branch, called its East Bakersfield branch, at Bakersfield, California; United Produce Company, hereafter called United, was an Illinois corporation; Eugene J. O’Riley and Frank Lofendo were citizens of Illinois; and Cy Mouradick was a citizen of California. In a bankruptcy proceeding commenced on December 1, 1948, United was adjudged a bankrupt on December 16, 1948, and O’Riley was appointed trustee in bankruptcy of United’s estate on January 18, 1949. At all pertinent times prior to December 1, 1948, Lofendo was United’s agent.

Plaintiff had an account with defendant at defendant’s principal office. United had an account with plaintiff at plaintiff’s principal office. Lofendo or United, in Lofendo’s name, had an account with defendant, hereafter called the Lofendo account, at…