Borg-Warner Acceptance Corporation v. Wolfe City National Bank

Borg-Warner Acceptance Corporation (Borg-Warner) brought this action in the district court against Wolfe City National Bank (Wolfe City) for actual and exemplary damages because of alleged wrongful conversion of property. This appeal is by Borg-Warner from a take-nothing judgment against it rendered by the trial court following trial without a jury. Appellant urges that the judgment should be reversed and rendered in its favor because the trial court erred as a matter of law in deciding that Borg-Warner take nothing. Alternatively, it asks that the cause be remanded because of the impossibility of obtaining a statement of facts and because the trial court refused to issue findings of fact and conclusions of law. After reviewing the briefs and considering stipulations of counsel, we have concluded that the principal issue to be decided is which party had priority of security interest in the property involved. We hold that Borg-Warner had priority of security interest in the collateral and, accordingly, reverse the trial courts judgment and remand the same for further proceedings.