Central Washington Bank v. Mendelson-Zeller, Inc.

This is a conversion action involving competing claims to crop proceeds under Article 9 of the Uniform Commercial Code as reflected in RCW 62A.9-101 et seq. The trial court entered summary judgment in favor of the defendant, Mendelson-Zeller, Inc. (MZ), and against the plaintiff, Central Washington Bank (Bank). We reverse.

The facts are undisputed. Robert and Julia Stirling owned and operated several apple orchards in Grant County. In mid-1983 the Stirlings filed for relief under chapter 11 of the Bankruptcy Code, acting as debtors in possession of their bankruptcy estates. The Stirlings then *349e…