E.F. Hutton & Co., Inc. v. George Hadley, Bankruptcy Trustee, Inc., Trustee for the Liquidation of Gic Government Securities, Inc.

How courts have described this case

Verbatim parenthetical descriptions written by other courts when citing this decision. Ranked by citation-network relevance.

• holding that defrauded investors, and not the bankruptcy trustee, had standing to bring claims arising out of bankruptcy debtor’s Ponzi scheme
• concluding that the trustee of a corporate debtor that defrauded its customers did not have standing to pursue an action for fraud against a broker because the claims belonged to the defrauded customer creditors
• noting that the bankruptcy trustee was “admittedly ... asserting claims of a specific group” of the debtor’s creditors arid explicitly restricting the holding to the specific facts of that case
• reviewing Caplin v. Marine Midland Grace Trust Co., 406 U.S. 416, 92 S.Ct. 1678, 32 L.Ed.2d 195 (1972), court held trustee lacked standing to bring claims for negligence and conversion held by certain customer creditors
• “Caplin has been held to remain the law under the revised bankruptcy statutes.”
• “Cap-lin has been held to remain the law under the revised bankruptcy statutes.”

Source: CourtListener parenthetical corpus (CC0).