REINHARDT, Circuit Judge:
This case involves a dispute over the interpretation of the "earmarking" doctrine—a rule that is applied in bankruptcy cases. The question before us is whether the bankruptcy court erred in determining that certain payments were avoidable under 11 U.S.C. § 547 as preferential transfers. We hold that where a third party lends money to a debtor on the condition that it be used to pay a specific debt, the fact that the debtor requested...
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