Wasser & Winters Co. v. Ritchie Bros. Auctioneers (America), Inc.

OPINION

EASTAUGH, Justice.

I. INTRODUCTION

A creditor authorized an auctioneer to sell seven pieces of equipment in which the ereditor held a security interest, and agreed to release its interest upon payment of "net proceeds" not to exceed the entire amount of debt owed to the creditor and subject to the payoff of a known senior lien. The ereditor and auctioneer disagree about whether "net proceeds" was to include the proceeds from the sale of all of the debtor's equipment or only the equipment in which the creditor held a security interest. They also disagree on which party bears the risk of…