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IN RE BAREFOOT

No. 91-2052.

952 F.2d 795 (1991)

In re Dewey BAREFOOT, d/b/a D & M Mobile Home, Debtor. Carol A. MORRISON, Trustee in Bankruptcy for Dewey Barefoot, individually and d/b/a D & M Mobile Home, D & M Homes, D & M Mobile No. 91-2052 Home and Auto Sales, and D & M Housing Center, Plaintiff-Appellee, v. CHAMPION CREDIT CORPORATION; Chrysler First Commercial Corporation, Defendants-Appellants.

United States Court of Appeals, Fourth Circuit.

Decided December 18, 1991.

Attorney(s) appearing for the Case

Nancy Marie Guyton, Murchison, Taylor, Kendrick, Gibson & Davenport, Wilmington, N.C., argued (Barbara J. Sullivan, on brief), for defendants-appellants.

Algernon Lee Butler, Jr., Wilmington, N.C., argued, for plaintiff-appellee.

Before WIDENER, WILKINSON and WILKINS, Circuit Judges.

OPINION

WILKINSON, Circuit Judge:

The issue in this case is whether payments made by a debtor to an unsecured creditor in the ninety days preceding bankruptcy constitute an avoidable preference under 11 U.S.C. § 547(b) when the purpose of the transfers was to make good a check of the debtor that had bounced prior to the ninety-day period. The bankruptcy court ruled that the payments were preferences, and the...

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