Farmers State Bank v. Mobile Homes Unlimited

Farmers State Bank appeals from findings of fact, conclusions of law and judgment entered by the District Court of Ravalli County, holding that because the bank had acted in a manner not authorized by the Uniform Commerical Code (U.C.C.) in repossessing certain property and dealing with certain notes, it was precluded from recovering a deficiency judgment on the notes from obligor Mobile Homes Unlimited or guarantors E. R. Vallance, Barbara Vallance, and Don Garrod.

Respondents E. R. Vallance and Don Garrod were the operators of a trailer facility, Mobile Homes Unlimited. Each owned a half…