Merchants Trust & Savings Bank v. Franzone

BOWES, Judge.

This is the second appeal of a case which originally began as an action to cancel certain leases from defendant to plaintiff. In the first appeal, Merchants Trust and Savings Bank v. Franzone, La.App., 388 So.2d 851, the Fourth Circuit reversed the trial court, finding defendant Franzone did not prove the fairness of his transactions. As past president and major stockholder of plaintiff bank, Franzone had the burden of proof because of his fiduciary relationship with the plaintiff. The appellate court rendered judgment avoiding the leases by Franzone to the bank and against…