American City Bank Tullahoma v. Western

This case involves a dispute concerning the priority between two secured creditors claiming title to the same collateral under the Uniform Commercial Code. It raises issues concerning: (a) the sufficiency of filing a financing statement in a partnership name; (b) the effect of a misspelling in the name of the partnership debtor; (c) the necessity of amendment of the financing statement upon the initial creditors ascertaining that there has been a change in the identity of the debtor in order to maintain priority over a subsequent creditor; (d) the reasonableness of the sale or other Disposition of the involved collateral by the original creditor; and (e) the actual extent of the first filers security interest based upon the effect of that creditors failure to pay the applicable State of Tennessee privilege tax on the entire amount claimed by it as a priority.