In re the General Assignment for the Benefit of Creditors of Gruber

This is a motion for an order directing that the assignee for the benefit of creditors turn over certain equipment and merchandise or the reasonable value thereof to the holder of a chattel mortgage allegedly covering said property. The assignee opposes the motion claiming that the chattel mortgage is void and unenforcible as a lien against the estate by reason of the fact that the provisions of section 230-a of the Lien Law were not complied with at the time the mortgage was executed.

On August 13, 1956 Raymond’s Juvenile Furniture, Inc., the owner of a retail toy business, sold its business…