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IN RE ZERKLE TRUCKING CO.

Bankruptcy No. 91-30086.

132 B.R. 316 (1991)

In re ZERKLE TRUCKING COMPANY, Debtor.

United States Bankruptcy Court, S.D. West Virginia.

October 7, 1991.

Attorney(s) appearing for the Case

Ralph Hoyer and Stephen Hoyer of Hoyer, Hoyer & Smith, Charleston, W.Va., for debtor.

Douglas McElwee of Robinson & McElwee, Charleston, W.Va., for Paccar Financial Corp.

OPINION AND ORDER FINDING LEASE AGREEMENTS TO BE INTENDED AS SECURITY AGREEMENTS AND DENYING PACCAR FINANCIAL CORPORATION'S MOTION TO COMPEL DEBTOR TO ASSUME OR REJECT UNEXPIRED LEASES

RONALD G. PEARSON, Bankruptcy Judge.

The Court is asked to decide whether equipment lease agreements with terminal rent adjustment clauses [TRAC leases] are true leases or leases intended for security. If they are true leases, the Debtor, Zerkle Trucking Company [Zerkle], must...

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