Frank H. Zindle, Inc. v. Friedman's Express, Inc.

Plaintiff, a domestic corporation, for the purpose of maintaining an action thereon, accepted an assignment of two claims against defendant, which claims belonged to Security Insurance Company. Under its arrangement with Security Insurance Company plaintiff was to charge a fee for its services if it made a recovery under the assignment and was to remit to the insurance company the amount collected less its fee. Plaintiff was not the true owner of the claims and its only interest in the assignment was to bring a suit thereon and to earn a fee from the proceeds in the event that the prosecution…