John Deskins Pic Pac, Inc. v. Flat Top National Bank (In Re John Deskins Pic Pac, Inc.)

MEMORANDUM OPINION AND ORDER

H. CLYDE PEARSON, Bankruptcy Judge.

The issue before the Court is the appropriate distribution of approximately $27,-000.00 in proceeds from sale of inventory. Resolution of this issue requires a determination of (1) whether the Defendant, Flat Top National Bank (“FTNB”), has a perfected security interest in the inventory proceeds, (2) whether Mullins, Inc. has a claim for rent which is superior to FTNB’s security interest, and (3) whether J.R. Thompson is entitled to repayment of monies advanced to the Debtor.

The relevant facts are as follows. The Debtor, John…