MacK Financial Corp. v. Peterbilt of Chattanooga, Inc. (In Re Glenn)

MEMORANDUM

RALPH H. KELLEY, Bankruptcy Judge.

Both the plaintiff and the defendant assert lien claims against a truck owned by the debtor at the time he filed his petition in bankruptcy. The parties agreed for the truck to be released to the plaintiff to sell at foreclosure and hold the proceeds for disposition according to the court’s decision. At the parties’ request, the case was tried on the pleadings, the briefs, and an agreed stipulation of facts.

The facts can be summarized as follows.

The plaintiff perfected a security interest in a 1972 Peterbilt truck owned by the debtor. The debtor…