John Deere Co. v. Production Credit Ass'n

NEARN, Presiding Judge, Western Section.

This appeal involves a dispute between two commercial lenders, John Deere Company and Production Credit Association (P.C.A.), over their interests in the proceeds from the sale of a piece of farm equipment purchased by James Willis. The Chancellor held that neither had priority over the other under Article 9 of the U.C.C. (T.C.A. § 47-9-101, et seq.), and that their rights in the proceeds were pro rata, according to the amount each loaned to Willis.

The facts are not disputed. In a transaction prior to the one in question here, P.C.A. acquired a security…