Fleming v. Citizens & Southern National Bank

Marshall, Justice.

The Citizens & Southern National Bank (the bank) was the holder of five promissory notes, which were all either made or guaranteed by Mr. Nicholson or Mr. Best or both. The Internal Revenue Service (IRS) made an assessment for unpaid wagering excise taxes against Best, a customer of the bank, on May 2,1973. At noon on May 3, 1973, when the checking accounts of Best had a credit balance in excess of $57,000, officers of the bank determined that the bank was "insecure” with respect to indebtedness of Best to the bank in excess of $60,000, and determined to take all reasonable…