Lancaster & Love, Inc. v. Mueller Co.

WOODROUGH, Circuit Judge.

Lancaster & Love, Inc., appeals from a judgment adjudicating it a bankrupt on the ground that it committed an act of bankruptcy on November 17, 1952, by making, while insolvent, a preferential transfer of its property, within the in-tendment of 11 U.S.C.A. § 21, sub. a(2). Appellant, on the date mentioned, made an assignment of a certain sewer construction contract between itself and the city of Pine Bluff, Arkansas, to the Mercantile National Bank of Dallas, Texas, to secure pre-existing and anticipated debts. The assignee caused the assignment to be recorded in…