Court Opinion

ID: 9456593
Source: CourtListenerOpinion
Date Created: 2023-08-04 19:57:27.692979+00
Date Added: 2024-06-11T17:35:02.301014
License: Public Domain

WILLIAM P. GRAY, District Judge
(concurring and dissenting):
I agree with my colleagues that the trustee may not recoup from Credit Bureau the funds that it paid over to its assignors before bankruptcy. However, I would allow recovery by the trustee of the money that Credit Bureau retained as its commissions. The full beneficial interest in the portion of the claim against Esskay to which such money is allocable was assigned to Credit Bureau. As to that portion of the claim, Credit Bureau “stood in the shoes” of its assignors. It therefore owned a debt and became a “creditor,” within the meaning of the Bankruptcy Act, in the same manner as would any other person who had received an assignment of a claim.
Credit Bureau unquestionably gave full and valid consideration in return for the portion of the claims that it held; but so, presumably, did all of the general creditors, for whose benefit the preference laws were established. I can see no good reason why Credit Bureau should stand in a better position than the other general creditors.