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PUTNAM MUN. TRUST v. FIRST CITY TEX., HOUSTON, N.A.

Civ. A. No. H-93-413.

862 F.Supp. 146 (1994)

PUTNAM HIGH YIELD MUNICIPAL TRUST, et al., Plaintiffs, v. FIRST CITY TEXAS, HOUSTON, N.A., et al., Defendants.

United States District Court, S.D. Texas, Houston Division.

August 19, 1994.

Attorney(s) appearing for the Case

Timothy M. McDaniel, Houston, TX, for plaintiffs.

Bobby Nick Turner, Dallas, TX, for defendant First City.

Bentley C. Kelly, III, Dallas, TX, for defendant Tellepsen.

OPINION ON PARTIAL SUMMARY JUDGMENT

HUGHES, District Judge.

1. Introduction.

Bondholders bring a breach of trust action against the bank that held funds in trust for the completion of a specific airlines project and against a contractor on another airline project that has been paid with those funds. Because the bank breached the trust agreement, the bondholders will be granted a judgment on liability.

2. Background.

...

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