Portuguese-American Bank v. Welles - 242 U.S. 7 (1916)
U.S. Supreme Court
Portuguese-American Bank v. Welles, 242 U.S. 7 (1916)
Portuguese-American Bank v. Welles
Argued October 27, 1916
Decided November 13, 1916
242 U.S. 7
A provision in a contract between the City of San Francisco and a construction company declaring that the company shall not, either legally or equitably, assign any moneys payable thereunder or its claim thereto, unless with the consent of the Board of Public Works,
does not render absolutely void an assignment of money due and payable under the contract, made by the contractor to a bank for valuable consideration but without such consent, nor prevent the passing of a prior title as against the right of a subcontractor who subsequently took the steps prescribed by § 1184 of the California Code of Civil Procedure for the sequestration of the same indebtedness, it appearing that the city did not object to the assignment or favor either claimant. Burck v. Taylor, 152 U. S. 634, distinguished.
211 F. 561, 215 F. 81, reversed.
The case is stated in the opinion.