Harry Shuler, Suzanne Shuler, New H.S. Industries, Inc., a California Corporation, and California Design Group, Inc., a California Corporation Dba Paragon West Knitting Mills, Inc. v. Walter E. Heller Western Inc., a California Corporation, and Does 1-10, Inclusive

956 F.2d 1168 NOTICE: Ninth Circuit Rule 36-3 provides that dispositions other than opinions or orders designated for publication are not precedential and should not be cited except when relevant under the doctrines of law of the case, res judicata, or collateral estoppel. Harry SHULER, Suzanne Shuler, New H.S. Industries, Inc., a California corporation, and California Design Group, Inc., a California corporation dba Paragon West Knitting Mills, Inc., Plaintiffs/Appellants, v. WALTER E. HELLER WESTERN INC., a California corporation, and Does 1-10, Inclusive, Defendants/Appellees. Nos. 89-56218, 89-56272. United States Court of Appeals, Ninth Circuit. Argued and Submitted Oct. 9, 1991. Decided March 3, 1992. Before FLETCHER, D.W. NELSON and BRUNETTI, Circuit Judges. 1 MEMORANDUM * OVERVIEW 2 Appellant California Design Group, Inc. ("Cal Design") and its sole shareholders Harry and Suzanne Shuler and New H.S. Industries, Inc. ("the Shulers" and "New H.S.") entered into what is known as a "factoring agreement" with appellee Heller Western, Inc. ("Heller"). Under this agreement, Cal Design sold its rights to receive future payments from its customers ("accounts receivable") to Heller,…