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IN RE HURT ENTERPRISES, INC.

No. 69-BK-175-H.

321 F.Supp. 1307 (1971)

In the Matter of HURT ENTERPRISES, INC., Bankrupt.

United States District Court, W. D. Virginia, Harrisonburg Division.

January 28, 1971.

Attorney(s) appearing for the Case

Felix E. Edmunds, Edmunds, Freed & Cooley, Carter Allen, Allen & Dalton, Waynesboro, Va., for First & Merchants National Bank.

Charles E. Kelly, Staunton, Va., Trustee for Hurt Enterprises.

Colin J. S. Thomas, Jr., B. C. Goodloe, Staunton, Va., for HHK Property.

Anthony J. Baroody, Staunton, Va., for petitioner.

D. Allen Penick, Lexington, Va., P. Donald Moses, Staunton, Va., for Henry E. Osborne.

Benham M. Black, Staunton, Va., for Richard J. Heinrick, trading as Dick's Disposal and for Richard D. Miller, trading as Richard's Modern Welding.

OPINION

WIDENER, District Judge.

This is a petition for review of an order of the Referee in Bankruptcy disallowing the claim of First and Merchants National Bank, petitioner, as a secured creditor.

In 1966, Granny Mustard Corporation, under an existing security agreement with petitioner Bank, gave the latter a chattel mortgage covering certain restaurant equipment, none of which was a fixture. Messrs. Mustard and Johnson and their wives were individual...

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