Court Opinion

ID: 9447562
Source: CourtListenerOpinion
Date Created: 2023-08-03 22:37:45.530014+00
Date Added: 2024-06-11T17:31:05.710948
License: Public Domain

PICKETT, Circuit Judge
(concurring).
While I am not in disagreement with the conclusions of the majority, I think there is a more satisfactory method of disposing of the case.
From the record it appears that Workman was not at fault when the trust funds of Selected were advanced to finance his project and also that he had a contractual right or claim as a creditor, which he could have presented in bankruptcy. 11 U.S.C.A. § 602. This right or claim comes only from the contract and the parties agree that Workman was to have no interest in the property of Capitol Gate, Inc., until Selected had been repaid all monies which it had advanced, together with 10% interest. To carry out this understanding, all the outstanding common stock of Capitol Gate was held by Selected.
In his answer, Workman pleaded that he stood “ready, willing and able to repay to Selected Investments, with interest, all the money advanced by it to Capitol Gate, Inc., in exchange for full ownership of all of the capital stock of Capitol Gate, Inc.” This offer was not withdrawn. The trustee of Selected has filed an acceptance of this offer, together with a statement of the amount due it under the contract. As indicated in Judge LEWIS’ opinion, the trustee in bankruptcy was not required to continue the performance of this executory contract, which would require the investment of additional trust funds therein. It seems to me that a practical and equitable solution would be to allow Workman, within a reasonable time, to acquire the property by payment to Selected of the amount of money advanced by it, together with interest.