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CROCKER NAT. BANK v. IDECO DIV. OF DRESSER IND.

No. 89-2149.

889 F.2d 1452 (1989)

CROCKER NATIONAL BANK, Plaintiff-Appellant, Cross-Appellee, and T.O.S. Industries, Inc., d/b/a Texas Oilfield Supply, Intervenor-Appellant, Cross-Appellee, v. IDECO DIVISION OF DRESSER INDUSTRIES, INC., Defendant-Appellee, Cross-Appellant.

United States Court of Appeals, Fifth Circuit.

Rehearing Denied January 11, 1990.

Attorney(s) appearing for the Case

Tim S. Leonard, David Scott Curcio, Kirklin & Boudreaux, Houston, Tex., for plaintiff-appellant, cross-appellee.

James R. O'Donnell, Kevin F. Risley, Jeannette M. McAllister, Butler & Binion, Houston, Tex., for defendant-appellee, cross-appellant.

Before WISDOM, JOHNSON and HIGGINBOTHAM, Circuit Judges.

PER CURIAM:

This diversity case presents the question whether under the Texas U.C.C. a sale of a debtor's inventory has occurred when (1) the alleged buyer is an affiliate of the debtor, (2) the debtor takes delivery of the inventory from its seller at a facility it shares with the affiliate, (3) the debtor never pays its seller and the affiliate never pays the debtor, and (4) the debtor later transfers the inventory back to its seller in exchange for a release. We...

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