Bernhard v. Bank of America National Trust & Savings Association

Facts

Clara Sather, an elderly lady, was in poor health so she approved Charles Cook, who had taken her in and was dealing with her, to make withdrawals from her bank account at the Security First National Bank of Los Angeles (LA Bank). Cook later opened an account at the First National Bank of San Dimas (SD Bank) for the sake of "Clara Sather by Charles O. Cook." Subsequently, within the sight of a teller, a cashier, Cook, and Sather's doctor, Sather signed a form approving the transfer of all the funds from the LA Bank record to the SD Bank account. Cook later withdrew the whole balance from the SD Bank account and opened another account for the himself and his wife. At the point when Sather died, cook progressed toward becoming executor of her estate without mentioning the funds transferred to the SD Bank. Helen Bernhard and different recipients of Sather's will (plaintiffs) recorded protests to the administration of the will in probate court. The probate court decided that Sather, during her lifetime, had made a gift to Cook in coins. Bernhard, subsequent to assuming control as administrator of the estate, brought suit against Bank of America National Trust and Savings Association (Bank of America) (defendant), the successor to the SD Bank. Bernhard tried to recoup the amount of the transfer. The trial court decided for Bank of America because Cook's ownership for funds was established definitively in the probate court and Bernhard's case was precluded as res judicata. Bernhard appealed.