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CALIFORNIA MERCURY RECORD DISTRIBUTORS, INC. v. PHELPS

No. 16886.

283 F.2d 261 (1960)

CALIFORNIA MERCURY RECORD DISTRIBUTORS, INC., Appellant, v. A. K. PHELPS, as Trustee in Bankruptcy of Audio Fidelity, Inc., Appellee.

United States Court of Appeals Ninth Circuit.

Rehearing Denied November 17, 1960.

Attorney(s) appearing for the Case

Adelman & Schwartz, Beverly Hills, Cal., for appellant.

Haskell H. Grodberg, Los Angeles, Cal., for appellee.

Before STEPHENS and BARNES, Circuit Judges, and KILKENNY, District Judge.

BARNES, Circuit Judge.

This case was initiated by the trustee in bankruptcy, Phelps, to set aside and prevent a preferential transfer. California Mercury Record Distributors, Inc., (hereinafter sometimes called Mercury) answered, and counterclaimed for a balance due on an account with the bankrupt. The district court gave judgment for the plaintiff trustee for $1,436.42, and held that no debt was due and owing to Mercury...

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