Union Bank & Trust Co. v. Parker (In re M.J.'s, Inc.)

MEMORANDUM AND ORDER ON PLAINTIFF’S MOTION TO DETERMINE SECURED STATUS

WM. B. WASHABAUGH, Jr., Bankruptcy Judge.

This matter is before the Court on Plaintiff’s Motion to determine the status of a purported security interest in the debtor’s Pennsylvania liquor license and amusement permit under the provisions of 11 U.S.C. § 506(c).

The parties filed a stipulation of facts on June 19, 1984 in which it was agreed that plaintiff and defendant entered into a contract whereby plaintiff lent defendant the sum of $40,000.00 and defendant signed a promissory note and security agreement to secure payment…