Turbinator, Inc. v. Superior Court

Opinion

HOLLENHORST, Acting P. J.

In this matter we hold that a creditor whose security interest has lapsed retains priority rights against a subsequent purchaser which acquires its interest in the collateral with actual knowledge of the first creditor’s interest. We therefore issue a writ commanding the trial court to grant petitioner’s request for a preliminary injunction restraining real party from disposing of the collateral.

Facts and History of the Case

This action involves an effort by petitioner Turbinator, Inc., to gain possession of certain personal property in which, at one time at…