IN RE MORGAN

BAP No. NC-82-1203 EKV, Bankruptcy No. I-81-01134, Adv. No. I-81-0451.

28 B.R. 3 (1983)

In re H.B. MORGAN, Jr., AKA "Bud" Morgan, W.W.I. Gayle Morgan, Gayle W. Morgan, dba F/V Hickory Wind, Debtors. BENDER SHIPBUILDING AND REPAIR CO., INC., et al., Appellant, v. H.B. MORGAN, Jr., an individual, and Gayle Morgan, his wife, and individual, dba F/V Hickory Wind, Appellees.

United States Bankruptcy Appellate Panels of the Ninth Circuit.

Decided March 15, 1983.


Attorney(s) appearing for the Case

"4"/> Charles S. Donovan, Dorr, Cooper & Hays, San Francisco, Cal., for appellant.

Frederick L. Hilger, Sr. a Professional Corporation, Eureka, Cal., for appellee.

Before ELLIOTT, KATZ and VOLINN, Bankruptcy Judges:


The issue in this case is whether the bankruptcy court erred by not honoring the arbitration clause contained in the contract between the plaintiff-debtor, H.B. Morgan ("Morgan"), and the defendant, Bender Shipbuilding and Repair ("Bender"). We REVERSE.

I.

On March 12, 1978, Morgan entered into a contract with Bender. Bender was to construct an oceangoing fishing vessel called the "Hickory Wind" for Morgan. After delivery of the vessel, a dispute arose in...

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