Ray v. Cannon's, Inc. (In Re Vickery)

■MEMORANDUM

RALPH H. KELLEY, Bankruptcy Judge.

The trustee in bankruptcy brought this suit to recover an alleged preferential payment to the defendant, Cannon’s, Inc. Cannon’s sells clothing and other consumer goods to consumers. It allowed the debtor to make purchases on account. The debt eventually became seriously past due. In December, 1984, the debtor directed that $957.45 of a loan to her be paid to Cannon’s, Inc. The lender made the payment to Cannon’s. The trustee seeks to recover it as a preferential transfer.

The parties agree, or do not dispute, that the payment satisfies the…