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IN RE HEITKAMP

No. 97-2355.

137 F.3d 1087 (1998)

In re: Scott HEITKAMP and Darcy Heitkamp, doing business as Wyndmere Builders, Debtors, Kip M. KALER, as trustee for Scott Heitkamp and Darcy Heitkamp, dba Wyndmere Builders, Plaintiff-Appellee, v. COMMUNITY FIRST NATIONAL BANK, Defendant-Appellant, Tim Herbranson, doing business as Herbranson Cabinets; Strata Corporation; Northland Truss Systems, Inc.; Dennis Johnk, doing business as Dennis' Floor Covering; ABC, Inc., doing business as ABC Seamless, Inc.; Fargo Glass & Paint Company; Lincoln State Bank of Harrison; The Park Company/Better Homes and Gardens, Defendants.

United States Court of Appeals, Eighth Circuit.

Decided March 11, 1998.

Attorney(s) appearing for the Case

Roger J. Minch, Fargo, ND, argued, for Defendant-Appellant.

Kip Kaler, Fargo, ND, argued, Bruce D. Johnson, on the brief, for Plaintiff-Appellee.

Before FAGG, JOHN R. GIBSON, and MURPHY, Circuit Judges.

FAGG, Circuit Judge.

Scott and Darcy Heitkamp build and sell homes in Wyndmere, North Dakota. In the course of their business, they borrowed money from Community First National Bank and maintained credit with several subcontractors. The bank initially loaned the Heitkamps $50,000 to build a certain house. A mortgage secured the loan. The Heitkamps ran out of cash before completing the project and obtained another loan for $40,000 from the bank in November 1995. Rather...

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