Zimmerling v. Affinity Financial Corp.

This appeal concerns the enforceability of security interests in funds deposited in an escrow account pursuant to an order of a judge of the Superior Court. The plaintiff, William Zimmerling, and the interveners, BHC Interim Funding II, LP, and BHC Interim Funding III, LP (collectively BHC), are creditors of Affinity Financial Corporation (Affinity). Zimmerling and BHC both lay claim to money owed to Affinity by AARP Financial, Inc. (AARP Financial). At issue is whether BHC’s perfected security interests in the funds held by AARP Financial were extinguished because they were transferred from…