First Nat. Bank v. Reconstruction Finance Corp.

This is an action for breach of a written contract, entitled “Blanket Participation Agreement”, alleging damages in the amount of $30,540.02. Plaintiff, San Mateo National Bank, is a national banking association, and defendant, Reconstruction Finance Corporation, is a corporate-form agency of the United States Government.

The “Blanket Participation Agreement” is a printed, standard-form document, prepared by defendant, and designed for use in a large volume of agreements of an identical nature between defendant and banks located throughout the United States. When a bank enters into such an agreement with Reconstruction Finance Corporation, the only additions to the printed form, which are written into blanks provided for that purpose, are: (1) the date of executing the agreement; (2) a date which serves as the basis for computing time periods for certain performances due thereunder; (3) the name of the contracting bank; (4) the signatures of an officer of each of the contracting parties.

The “Blanket Participation Agreement” provides that, as to certain types of defined loans and under certain described conditions, defendant will purchase a participation in outstanding loans…