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MID-CAL NAT. BANK v. FEDERAL RESERVE BANK

No. 76-3116.

590 F.2d 761 (1979)

MID-CAL NATIONAL BANK, a National Banking Association, Plaintiff and Appellee, v. FEDERAL RESERVE BANK OF SAN FRANCISCO, Defendant, Bank of Stockton, Defendant and Appellant.

United States Court of Appeals, Ninth Circuit.

January 8, 1979.

Attorney(s) appearing for the Case

Mark S. Bray (argued), of Cavalero, Bray, Shumway & Geiger, Stockton, Cal., for defendant and appellant.

E. James McGuire (argued), O'Gara & McGuire, San Francisco, Cal., for plaintiff and appellee.

Before TRASK and KENNEDY, Circuit Judges, and TURRENTINE, District Judge.

TURRENTINE, District Judge:

Bank of Stockton (hereinafter "Stockton") appeals from a summary judgment entered against it. This case presents the question whether one bank owes a legal duty to another bank to discover a check kiting scheme that results in a loss to the second bank. The court below apparently determined that no such duty was owed by appellee Mid-Cal National Bank (hereinafter "Mid-Cal") to Stockton. We affirm.

The essential facts are as follows...

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