State Savings Bank v. Allis-Chalmers Corp.

HAYDEN, Judge.

State Savings Bank of Bedford and Al-lis-Chalmers (AC), now Deutz-Allis, acting as AC’s corporate successor, both claimed security interests in an implement dealership’s parts inventory. When the dealership was sold, a dispute arose between the bank and the manufacturer over entitlement to the proceeds from the sale of the dealership’s parts inventory. The bank sued AC, its creditor corporation, and one of its employees. The bank recovered judgment for actual and punitive damages on theories of conversion and fraud. The defendants have appealed; they contend the evidence did not…