Unpaid Cattle Seller's Right Of Reclamation Is Trumped By Security Interest Of Buyer's Financer

LexisNexis ( March 20, 2017, 12:42 PM EDT) -- In a well-reasoned decision, the Eighth Circuit Bankruptcy Appellate Panel has ruled that a seller's right to reclaim cattle, delivered to the buyer but not paid for, is subordinated to the security interest of the buyer's financer.  In reaching this conclusion, the court does a good job of harmonizing the priority rules of the UCC with the requirements found in a special state statute dealing with livestock bills of sale.  We think the decision is correct in every way....