Household Finance Corp. v. Arlett (In Re )

MEMORANDUM OPINION AND DECISION

LOREN S. DAHL, Bankruptcy Judge.

STATEMENT OF THE FACTS

On October 21, 1980, GORDON and TERESA ARLETT (the Debtors), purchased a Mark III Servamatic Solar Water Heater from Servamatic Solar Systems, Inc. (the Assignor), pursuant to a written contract captioned “Security Agreement (Goods-In-Home Sales)”, (the contract). The total purchase price, which included installation and a finance charge of $1,647.60, was $5,517.60. Two pertinent provisions of the contract provide:

“SECURITY. I (buyer) give you a security interest in goods described above

and

“LIENS. You…