Walter D. Sanders, Trustee in Bankruptcy for the Atlanta Times, Inc., Bankrupt v. National Acceptance Company of America

This appeal involves a petition for reclamation of property held by the bankrupt under two agreements. The property has been sold and the parties agree that the funds representing the net recovery from the sale stand in lieu of the property.

The question presented turns on whether the agreements were leases or agreements creating security interests within the meaning of the Uniform Commercial Code as it exists under the Georgia law. Ga.Code § 109A-1-201[37]. That provision of the Code states that whether a lease is intended as security is to be determined by the facts of each case. The…