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ARATEX SERVICES, INC. v. BLUE HORSE, INC.

No. C7-92-1863.

497 N.W.2d 283 (1993)

ARATEX SERVICES, INC., creditor, Respondent, v. The BLUE HORSE, INC., Debtor, and Western State Bank and Insurance Agency, garnishee-third party, Appellant.

Court of Appeals of Minnesota.

Review Denied May 11, 1993.

Attorney(s) appearing for the Case

David R. Marshall, Mary E. Hanton, Fredrikson & Byron, P.A., Minneapolis, for appellant.

Brian D. Alton, McClay & Alton, St. Paul, for respondent.

Considered and decided by ANDERSON, C.J., and LANSING and HUSPENI, JJ.

OPINION

ANDERSON, Chief Judge.

Appellant claims the trial court erred by finding that it failed to disclose a debt pursuant to a garnishment summons and is therefore liable to respondent for the amount of the indebtedness. We agree and reverse.

FACTS

Appellant Western State Bank and Insurance Agency (the bank) was a major creditor of The Blue Horse, Incorporated (Blue Horse). The bank held a mortgage on real estate owned by Blue Horse and...

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