Bates v. Castillo

HALE, Justice.

Appellants, as assignees for the benefit of creditors of Better Housekeeping, Inc., sued appellee to set aside a deed of trust which he executed on behalf of the corporation as its president for the purpose of securing himself in the payment of certain notes which he held against the corporation. As grounds of the relief sought, appellants alleged in substance that the corporation was insolvent at the time when the deed of trust was executed, that there was no new consideration for the execution thereof, its purpose being to secure appellee in the payment of antecedent unsecured…