Jensen-McLean Co. v. Crouthamel Potato Chip Co. (In Re Crouthamel Potato Chip Co.)

OPINION

EMIL F. GOLDHABER, Bankruptcy Judge:

The issue at bench is whether a party who asserts that the debtor bought a piece of equipment as an agent of that party is entitled to reclaim that equipment over the objections of the debtor and of a secured creditor who holds a security interest in all of the debtor’s present and after-acquired equipment. We conclude that the reclaiming party is entitled to the equipment inasmuch as the debtor, in purchasing the equipment, was only acting as the agent of that party and, therefore, did not acquire any rights in that equipment which would entitle it…