THORNBERRY, Circuit Judge:
A. Pope Gordon, as trustee in bankruptcy of Wilco Forest Machinery, Inc., initiated this action for the return of certain Wilco property presently in the possession of Eaton Corporation, Eaton Yale, Ltd., and Timberjack of Alabama, Inc. (hereinafter collectively denominated "Eaton"). The district court upheld the referee's finding that the security interest asserted by Eaton was valid, that its possession was not illegal as a preference...
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