Clement Bulk Sale

LIPSITT, J.,

In this proceeding, the parties have advanced the question whether or not lien creditors are entitled to a preference over general creditors in the distribution of proceeds paid into court in view of the provisions concerning bulk transfers in the Uniform Commercial Code.

The significant facts are covered in the following precis and discussion. On April 7, 1975, a bulk transfer of equipment and related items of Charles A. Clement and Allen S. Apple, a copartnership trading as The Apple and The Frenchman, was made to the Clock Bar, Inc. Pursuant to section 6-106 of the Uniform…