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PEOPLES NATIONAL BANK OF N.J. v. FOWLER

73 N.J. 88 (1977)

372 A.2d 1096

PEOPLES NATIONAL BANK OF NEW JERSEY, PLAINTIFF-RESPONDENT, v. JOHN B. FOWLER, DEFENDANT, AND MAURICE L. STONEHILL, DEFENDANT-APPELLANT.

The Supreme Court of New Jersey.

Decided April 21, 1977.

Attorney(s) appearing for the Case

Mr. David J. Goldberg argued the cause for appellant (Messrs. Warren, Goldberg & Berman, attorneys).

Mr. Igor Sturm argued the cause for respondent (Messrs. Charles, Sturm & Segal, attorneys).

The opinion of the court was delivered by SCHREIBER, J.

Is an owner of stock, which had been transmitted to a bank as collateral security for a loan to a third person, entitled to the return of the stock because in making the loan the bank violated the federal margin requirements of Regulation U, 12 C.F.R. § 221.1 et seq. (1976), and the usury laws of New Jersey, N.J.S.A. 31:1-1 et seq.? This issue arose in the context of an action...

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