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LANG v. FIRST NAT. BANK IN HOUSTON

No. 14665.

215 F.2d 118 (1954)

LANG v. FIRST NAT. BANK IN HOUSTON.

United States Court of Appeals Fifth Circuit.

August 25, 1954.

Attorney(s) appearing for the Case

Emanuel Harris, New York City, Thomas B. Weatherly, Houston Tex., Vinson, Elkins, Weems & Searls, Houston, Tex., for appellant.

M. U. S. Kjorlaug and Bruce Billingsley, Boyles & Billingsley, Houston, Tex., for appellee.

Before STRUM and RIVES, Circuit Judges, and DAWKINS, District Judge.

DAWKINS, District Judge.

The trustee in bankruptcy of Thomas Bryan & Associates, Inc., appeals from a judgment rejecting his demand for the recovery of funds paid by the bankrupt to the appellee, alleged to have been an illegal preference under Section 60, sub. b of the Bankruptcy Act.1 The sole question is whether or not appellee had reasonable cause to believe that the debtor was insolvent at the time of the payment.

The...

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