Weems v. Paul R. Walker Co. (In re James)

MEMORANDUM

RALPH H. KELLEY, Chief Judge.

The trustee in bankruptcy has moved for partial summary judgment. The main question is a question of law.

*160The defendant, Walker, was building an apartment complex. Walker let a contract to the debtor to do the plumbing work. They agreed that Walker would withhold 10 percent from the payments due the debt- or. Walker withheld 10 percent from what it owed the debtor. Walker did not deposit the money in a separate escrow account. The debtor completed the work, and it passed inspection by the city inspector. Walker, however, did not pay the debtor the…