Ackley State Bank v. Haupt

HARRIS, Justice.

A bank is attempting to collect on a loan it made to a dairy farmer. The farmer claims the obligation was discharged in bankruptcy. The bank in turn suggests compelling reasons why the discharge in bankruptcy did not bar recovery. The question is whether, as the trial court held, the bank is contending against the bankruptcy discharge in the wrong forum. We affirm.

Defendant, Clarence D. Haupt, signed a note for $95,104 to the Ackley State Bank on January 15, 1986. The note was due on July 15, 1986. It was secured by a security interest in Haupt’s inventory, farm products,…