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IN RE KELLY FOOD PRODUCTS, INC.

Bankruptcy Case No. 96-72781, Adversary Nos. 96-7198, 96-7199.

204 B.R. 18 (1997)

In re KELLY FOOD PRODUCTS, INC., Debtor. G & G SALES CORPORATION, Plaintiff, v. KELLY FOOD PRODUCTS, INC., Defendant. RED RIVER VALLEY POTATO MARKETING ASSOCIATION, Plaintiff, v. KELLY FOOD PRODUCTS, INC., Defendant.

United States Bankruptcy Court, C.D. Illinois.

January 10, 1997.

Attorney(s) appearing for the Case

Richard P. Klaus, Champaign, IL, for G & G Sales.

Stephen P. McCarron, Louis W. Diess, III, Washington, DC, for Red River Valley.

Barry M. Barash, Galesburg, IL, for Debtor.

Timothy J. Howard, Peoria, IL, for First of America Bank.

OPINION

LARRY L. LESSEN, Bankruptcy Judge.

The two issues before the Court are (i) the scope of protection provided by preserving the benefits of a PACA trust through the newly-authorized method of placing a statutorily-prescribed statement on a bill or invoice statement as opposed to preserving one's rights through the traditional written notice, and (ii) whether a PACA statutory trust is a "true trust" or...

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