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URBAN SYSTEMS DEVELOP. CORP. v. NCNB MORTGAGE CORP.

Nos. 74-1101, 74-1289.

513 F.2d 1304 (1975)

URBAN SYSTEMS DEVELOPMENT CORPORATION, Appellant, v. NCNB MORTGAGE CORPORATION, and Lester D. Young, Trustee for NCNB Mortgage Corporation, Appellees. URBAN SYSTEMS DEVELOPMENT CORPORATION, Appellant, v. FIRST FEDERAL SAVINGS AND LOAN ASSOCIATION, Appellee.

United States Court of Appeals, Fourth Circuit.

Decided April 10, 1975.

Attorney(s) appearing for the Case

John E. Vanderstar, Washington, D. C. (Covington & Burling, Washington, D. C., W. Pinckney Herbert, Jr., Charlotte, N. C., Donald L. Golden, Washington, D. C., and Andrew D. Taylor, Jr., Charlotte, N. C., on brief), for appellant in Nos. 74-1101 and 74-1289.

Harry A. Berry, Jr., Charlotte, N. C. (Berry, Bledsoe & Hogewood, Charlotte, N. C., on brief), for appellee in No. 74-1101.

John E. McDonald, Jr., Charlotte, N. C., for appellee in No. 74-1289.

Before HAYNSWORTH, Chief Judge, and RUSSELL and WIDENER, Circuit Judges.

HAYNSWORTH, Chief Judge.

This appeal brings before us the question of the possible liability of construction lenders to a terminated general contractor. The district court held that regardless of the ultimate resolution of the controversy between the owner and the general contractor, the contractor had no claim to undisbursed funds in the hands of construction lenders. Summary judgment was entered for the financial institutions, and this appeal by the general contractor...

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