Hempy v. Bank of Tokyo of California

284 F.2d 93 Walter J. HEMPY, Trustee of the Estates of the Lee Company, a copartnership, composed of Yuen Lee and Kai G. Lee, and Yuen Lee and Kai G. Lee, as individuals, Bankrupts, Appellants, v. BANK OF TOKYO OF CALIFORNIA, Appellee. No. 16867. United States Court of Appeals Ninth Circuit. November 9, 1960. James M. Conners, Vernon D. Stokes, San Francisco, Cal., for appellant. Joseph H. Inglese, San Francisco, Cal., for appellee. Before CHAMBERS, POPE and JERTBERG, Circuit Judges. PER CURIAM. 1 In loaning the now bankrupt Lee company in excess of $7,000, the Bank of Tokyo took as security two passenger cars and one light truck belonging to the debtor. The vehicles, by the terms of the note, were "assign[ed], transfer[red] and deliver[ed]" to the bank. The debtor retained possession of the cars and truck. Promptly after the pledge was made, the Department of Motor Vehicles of the state of California issued certificates of ownership, each reciting that the bank was the legal owner and the debtor-partnership was the registered owner. 2 There was no compliance by the debtor or creditor with Section 2956 1 of the Civil Code of California, but the pattern followed did comply with…