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CHELSEA FACTORS, INC. v. UNITED STATES

No. 372-55.

181 F.Supp. 685 (1960)

CHELSEA FACTORS, INC., v. UNITED STATES.

United States Court of Claims.

March 2, 1960.

Attorney(s) appearing for the Case

Richard T. Conway, Washington, D. C., for plaintiff. Louis Zasloff, Minot & Zasloff, New York City, and Lawrence J. Latto, Washington, D. C., were on the briefs.

Gerson B. Kramer, Washington, D. C., with whom was Asst. Atty. Gen. George Cochran Doub, for defendant. Acting Asst. Atty. Gen., George S. Leonard was on the brief.

MADDEN, Judge.

The plaintiff sues, claiming that it is the assignee of the proceeds of a contract between the Government and Suburban Frosted Foods, Inc. The Government asserts numerous defenses. The plaintiff is a corporation that engages only in the business of lending money on the security of specific merchandise. Its customers are wholesalers who need funds with which to purchase merchandise for resale, and who can pledge with the plaintiff as collateral their...

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