Tom Boudreau and Mary Belle Boudreau, Husband and Wife v. Borg-Warner Acceptance Corporation, a Delaware Corporation, Defendant

SNEED, Circuit Judge:

This is a diversity case. The appellant, a secured creditor of the appellees, appeals from a directed verdict for conversion and a jury award of $14,271.34 compensatory damages and $65,000 punitive damages. The issues on appeal are: (1) Did the district court err in its interpretation of the Security Agreement under which it conditioned the creditor’s possessory rights upon the debtor’s failure to accede to a demand for delivery? and (2) Does appellant’s security interest in the appellees’ “inventory” extend to inventory other than that acquired under the floorplan…