Riyad Bank v. Al Gailani

This case involves the legality of a bank’s actions in foreclosing on accounts receivable a debtor pledged as collateral. The trial court concluded that the bank neither used commercially unreasonable collection methods under section 9.502 of the Uniform Commercial Code nor conducted an improper foreclosure sale under section 9.504. See Tex. Bus. & Com.Code §§ 9.502, 9.504. 1 The court of appeals, concluding that the debtors raised fact questions about the collection attempt under section 9.502, reversed the trial court’s judgment. 22 S.W.3d 560. The court did not reach the debtors’ claims…