In re Jay's Food Mart

LEVIN, District Judge.

The Court has before it a petition by the trustee in bankruptcy to review an order of the Referee holding valid a lien of the Dorau-Owens Company.

The facts are not in dispute. On January 2, 1953, four days before the filing of the petition in bankruptcy, the DorauOwens Company repossessed certain shelving, racks and other fixtures which it had sold to the bankrupt under an instrument purported to be a conditional sales contract. The trustee maintains that it was, in effect, a chattel mortgage transaction and that the lien of the Dorau-Owens Company is invalid against the…