Creer v. Valley Bank and Trust Co.

Valley Bank and Trust Company (the bank) appeals from a judgment in favor of plaintiffs declaring their claim of ownership in a cement mixer truck superior to the unperfected security interest of the bank in the same vehicle. We affirm.

The bank was the holder of a promissory note in the amount of $250,000 for which the obligor signed a security agreement giving collateral, including a security interest in the vehicle here at issue. The bank did not perfect its security interest by complying with the provisions of article 5 of the Motor Vehicle Act, which governs the filing of instruments…