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IN RE TRIANGLE DOOR AND TRUSS CO.

Bankruptcy No. 3-81-00283, Adv. No. 3-83-0813.

41 B.R. 164 (1984)

In re TRIANGLE DOOR AND TRUSS COMPANY, Debtor. The HOME INSURANCE COMPANY, Plaintiff, v. William L. LANCASTER, III, Trustee for Triangle Door and Truss Company, Defendant and Third-Party Plaintiff, v. The BAILEY COMPANY, Third-Party Defendant.

United States Bankruptcy Court, E.D. Tennessee.

June 11, 1984.

Attorney(s) appearing for the Case

Blankenship & May, David W. Blankenship, Kingsport, Tenn., for plaintiff.

Bernard H. Cantor, Johnson City, Tenn., for defendant.

DeVane & Hyder, Robert S. DeVane, Johnson City, Tenn., for third-party defendant.

MEMORANDUM

CLIVE W. BARE, Bankruptcy Judge.

Ownership of the net proceeds from the trustee's sale of a tow-motor forklift, the subject of a lease intended for security, Tenn.Code Ann. § 47-1-201(37) (Supp. 1983), is controverted. Because it paid its insured, The Bailey Company (lessor-seller), for the theft loss of the forklift, plaintiff, The Home Insurance Company, claims the proceeds on a theory of subrogation. On behalf of the debtor (lessee-buyer...

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