McGarry & McGarry, LLC v. Rabobank, N.A.

Dist. Ct. did not err in dismissing for failure to state cause of action plaintiff-creditor’s action, alleging that contracts between bankruptcy trustee and entity that provided banking services to trustee in distributing debtor’s funds to creditors violated Bank Holding Company Act because terms of contract called for trustee not to obtain equivalent services from competitor bank during life of bankruptcy proceeding. Instant contracts did not violate said Act, since fair reading of contracts allowed trustee to use different Bank for other bankruptcy proceedings. Fact that trustee preferred to work with instant entity did not create exclusivity arrangement required to establish violation of said Act. Moreover, there was no evidence that entity’s $194.35 fee that was deducted from creditor’s recovery on its share of debtor’s assets was exorbitant, or that plaintiff would have incurred lower fee had trustee been allowed to hire different entity to provide said banking services.