Bank of Valley v. United States National Bank

This is an appeal in a declaratory judgment action brought to determine the priority of liens between the plaintiff Bank of Valley’s security agreement and the defendant The United States National Bank of Omaha’s security agreement. The property involved was a residence built on leased land.

The evidence is not in dispute. On July 26, 1973, Robert Luethge entered into a lease agreement with Ginger Cove, Inc., for Lot 66, in Ginger Cove. The lease provided: “11. REMOVAL OF LEASEHOLD IMPROVEMENTS. Lessee has the privilege to remove all improvements made by Lessee on said premises provided the…