John Miller Supply Co. v. Western State Bank

But one issue is presented on this appeal: Did the agreement of March 11, 1966, give the supply company a security interest in the Willow Creek collateral applicable to the contingent contractual liabilities of Willow Creek to the supply company under contracts executed between the parties on that date and thereafter.

It is clear that the supply company intended to make future advances to Willow Creek. It was intended, and the agreement clearly recites, that the collateral would secure any future loans made under the contract. The $5,000 loan made the same day is clearly secured by the…