Mitchell, Trustee v. Moon

The opinion of the court was delivered by

Fatzer, J.:

This was an action commenced by a trustee in bankruptcy to recover the value of a stock of merchandise taken by the defendant, A. E. Moon, from the bankrupt on February 15, 1965, by virtue of a chattel mortgage executed between the bankrupt and the defendant on March 20,1963, and filed of record in Ford County, February 15, 1965. The trustee sought to avoid the transfer of possession of the merchandise on the grounds the taking constituted a preference for the benefit of the defendant under the bankruptcy laws of the United States, and that…