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KIMBELL FOODS, INC. v. REPUBLIC NAT. BANK

No. 75-4105.

557 F.2d 491 (1977)

KIMBELL FOODS, INC., f/k/a Kimbell Milling Company, d/b/a Kimbell Grocery Company, Plaintiffs-Appellants, v. REPUBLIC NATIONAL BANK OF DALLAS and United States of America, Defendants-Appellees.

United States Court of Appeals, Fifth Circuit.

Rehearing and Rehearing Denied October 25, 1977.

Attorney(s) appearing for the Case

A. L. Vickers, Vernon O. Teofan, Holt W. Guysi, Dallas, Tex., for plaintiffs-appellants.

Frank J. Betancourt, Dallas, Tex., for Republic Nat'l Bank.

Michael P. Carnes, U. S. Atty., Fort Worth, Tex., Charles D. Cabaniss, Asst. U. S. Atty., Dallas, Tex., for defendants-appellees.

Before THORNBERRY and GEE, Circuit Judges, and MARKEY, Chief Judge.

Rehearing and Rehearing En Banc Denied October 25, 1977.

GEE, Circuit Judge:

On this appeal we must decide which creditor of a mercantile chain enjoys priority to repayment from the proceeds of the sale of assets of three supermarkets, aggregating $86,672. One of these is the Small Business Administration (hereinafter SBA), an avatar of the United States, serving as the guarantor of a private loan to the debtor. SBA claims the special priority enjoyed by the...

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