Rosenstein v. Mechanics & Farmers Bank

HUSKINS, Justice.

The dispositive question posed by this appeal is whether the savings accounts were validly assigned to plaintiffs.

Bank deposits are assignable. Lipe v. Bank, 236 N.C. 328, 72 S.E. 2d 759 (1952). When an individual deposits money in a bank account, a debtor-creditor relationship is established between the bank and the depositor. “The debt thus created is subject to the rule that ordinary business contracts for money due or to become due are assignable.” Id. at 331, 72 S.E. 2d at 761.

Defendant contends that this principle of assignability is subject to contrary agreement by the…