Wells Fargo Bank, N.A. v. D & L Nicolaysen (In Re D & L Nicolaysen)

MEMORANDUM DECISION

MICHAEL S. McMANUS, Bankruptcy Judge.

Plaintiff WeUs Fargo Bank has filed two adversary proceedings in two related chapter 11 cases seeking a determination that it is entitled to payment of Retain Certificates issued by a agricultural cooperative association to the defendants with a face value of $568,000.00. The court, after considering the terms of the confirmed chapter 11 plans, the testimony, and other exhibits, concludes that the Wells Fargo Bank is not entitled to the relief it seeks.

I. Facts

Beginning in 1986, Wells Fargo Bank made a series of secured loans to…