In re the General Assignment for the Benefit of Creditors of Film Classics, Inc.

The order in this assignment for the benefit of creditors proceeding, insofar as appealed from, is based upon the construction of the Irwin and Wein agreements. Special Term held that they created a debtor and creditor relationship between these two motion-picture producers and the distributor, Film Classics, Inc., and that consequently the producers could have no ownership in any assets earmarked as having been derived from the exhibition of the particular producer’s picture. Special Term decided the proceeding solely upon the absence of a fiduciary relationship, due to the lack of which…