Zottarelli v. Pacific States Savings & Loan Co.

In an action brought by plaintiffs as a class action in behalf of all creditors similarly situated, the court rendered judgment in favor of defendants. Plaintiffs appeal.

Contentions

The question to be determined is the validity of assignments made by certain certificate holders in defendant Pacific States. Plaintiffs contend these assignments are void and should be set aside because of (1) alleged breach of trust by defendant commissioner; (2) violation by the corporate defendants of a duty owed a fellow beneficiary and of an implied contract that nothing would be done to deprive claimants…