President & Directors of the Manhattan Co. v. Prudence Co.

The Prudence-Bonds Corporation, hereinafter referred to as the obligor, executed a deed of trust for the purpose of securing a series of mortgage bonds. The plaintiff is the trustee named in the deed of trust. The trust agreement recites that the obligor has assigned to the trustee bonds, mortgages and other securities and cash set forth in the agreement and that “ the trustee shall have and hold such bonds, mortgages and other securities and cash upon the trusts hereby created for the equal and pro rata benefit and security of the holders of Prudence-Bonds, Fifth Series, issued and to be…