David Haar v. Orrell Oseland, Trustee

On February 4, 1956, officers of the Knickerbocker Leather & Novelty Co. Inc., now the bankrupt, consulted the appellant, an attorney, about its financial difficulties. A retainer of $2,500 was agreed upon. The attorney prepared and, on February 8, filed a petition for an arrangement, under Chapter XI of the Bankruptcy Act. On his retainer, he received a check for $1,000 and an assignment of accounts receivable which yielded $1,500. In May, after extensive efforts to consummate an arrangement, the contemplated arrangement failed and bankruptcy ensued. The trustee in bankruptcy petitioned…