In Re Glade Springs, Inc., Debtor. Chemical Bank, Claimant-Appellant v. D. Broward Craig, Trustee of David A. Crabtree

BAILEY BROWN, Senior Circuit Judge.

Claimant-Appellant Chemical Bank (Chemical) appeals a judgment of the United States District Court for the Eastern District of Tennessee which reversed a federal bankruptcy court decision in which Chemical was found to be a secured creditor under a deed of trust. Chemical now contends that the district court erred by determining that Chemical was merely a general unsecured creditor. Because we believe that Chemical is equitably subro-gated to the rights of the holder of the trust deed, we vacate the judgment of the district court and reinstate the judgment…