Pacific Financial Corporation v. Central Bank & Trust Company

BELL, Circuit Judge.

Appellant arranged to purchase an airplane from one Constain and negotiated an irrevocable letter of credit with the bank, appellee here, in the amount of $50,000.00 in favor of Constain to be paid on draft accompanied by a “certificate of title issued in blank” to one C-46 “Curtiss Commando” airplane. The bank paid the draft, accepting instead a “bill of sale issued in blank” with the approval of the assignee of the “document of title” to be received under the letter of credit, and upon receiving a declaration of receipt of the airplane signed by two officers of appellant…