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IN RE GULF CITY SEAFOODS, INC.

No. 01-60265.

296 F.3d 363 (2002)

In the Matter of: GULF CITY SEAFOODS, INC., Debtor. Gulf City Seafoods, Inc., Appellant, v. Ludwig Shrimp Co., Inc., Appellee.

United States Court of Appeals, Fifth Circuit.

July 11, 2002.

Attorney(s) appearing for the Case

William S. Boyd, III (argued), William S. Boyd III & Associates, Gulfport, MS, for Appellant.

Harry Benjamin Mullen (argued), Bryan, Nelson, Schroeder, Castigliola & Banahan, Pascagoula, MS, for Appellee.

Before GARWOOD, JOLLY and DAVIS, Circuit Judges.

E. GRADY JOLLY, Circuit Judge:

This bankruptcy case deals with the interpretation and application of the "ordinary course of business" defense for a preferential transfer of funds. During the preference period, the debtor, Gulf City Seafoods ("Gulf City"), made numerous payments to one of its suppliers, Ludwig Shrimp Company ("Ludwig"). The bankruptcy court found that Gulf City had made most of these payments in the ordinary...

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