Bank of Beaver City v. Barretts' Livestock, Inc.

GURICH, J.,

with whom COLBERT, V.C.J. and REIF, J. join dissenting:

T 1 The majority holds that the good faith requirement of 12A 0.8.2011 § 2-403 does not extend to third parties. Such a holding is not supported by the Uniform Commercial Code,1 and case law interpreting the Code,2 *1096and goes too far-it bars all future third parties from defeating a secured lender's interest under § 2-408 regardless of how egregiously the lender has acted.

12 To be a good faith purchaser for value, a party must act honestly in fact and observe reasonable commercial standards of fair dealings.3 Barretts' Livestock…