DIXIE PRODUCTION CREDIT ASSOCIATION v. Kent

Deen, Presiding Judge.

In September 1978, Dixie Production Credit Association (“PCA”) lent Kent money, taking a security interest in Kent’s swine livestock and the proceeds thereof. PCA perfected the security interest by filing a standard U. C. C. financing statement. On or about January 20, 1981, Kent sold some of the pigs to the Cliftons, who operated a feed supply business. The consideration for the sale consisted of $910 payment to Kent and cancellation of a $2,090 account Kent owed the Cliftons. Kent tendered the $910 to PCA, but PCA refused the tender and demanded of the Cliftons the…