Loeb v. G. A. Gertmenian & Sons (In Re A. J. Nichols, Ltd.)

ORDER

W. HOMER DRAKE, Jr., Bankruptcy Judge.

This case is before the Court on the trustee’s Complaint to Avoid a Preferential Transfer. The defendant is a dealer of oriental rugs, who supplied oriental rugs to the debtor on either a “consignment” or “sale or return” basis. (See p. 615, ¶ 2, infra.) On March 6, 1980, the debtor shipped to the defendant forty-six (46) rugs with a consignment wholesale value of $29,-505.00. Forty-five (45) of the aforementioned forty-six (46) rugs had previously been shipped by the defendant to the debtor on a consignment basis. A security interest was not taken…