Uniform Commercial Code - Rohweder v. Aberdeen Production Credit Association: Attachment of Security Interests and the Bailment/Conditional Sale Problem
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Authors
Saladino, Thomas L.
Issue Date
1986
Volume
19
Issue
Type
Journal Article
Language
Keywords
Alternative Title
Abstract
FIRST PARAGRAPH(S)|In Rohweder v. Aberdeen Production Credit Association, a panel of the Eighth Circuit made it clear that the property interest of a genuine bailee is insufficient to support the attachment of a security interest asserted by a creditor of the bailee. Specifically, the "mere possession of the collateral or an unexercised option to purchase does not give the debtor sufficient right for a security interest to attach." Therefore, the threshold inquiry is whether the arrangement is a true bailment or whether it is actually a disguised sale or security arrangement, in which case the bailee's creditor's security interest may attach...
Description
Citation
19 Creighton L. Rev. 1083 (1985-1986)
Publisher
Creighton University School of Law