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T & O MOBILE HOMES, INC. v. UNITED CALIFORNIA BANK

Docket No. S.F. 24763.

40 Cal.3d 441 (1985)

709 P.2d 430

220 Cal. Rptr. 627

T & O MOBILE HOMES, INC., Plaintiff and Appellant, v. UNITED CALIFORNIA BANK, Defendant and Respondent.

Supreme Court of California.

December 5, 1985.

Attorney(s) appearing for the Case

COUNSEL

Marshall W. Krause, Richard M. Grant, Krause, Timan, Baskin, Shell & Grant and T.W. Salter for Plaintiff and Appellant.

Cook, Perkiss & Liehe, David J. Cook, Ross, Ivanjack & Alborg, Kenneth P. Gray and Thomas E. Alborg for Defendant and Respondent.

OPINION

BIRD, C.J.

Who should bear the loss when a bona fide purchaser relies on a vehicle certificate of ownership which fails to disclose that the vehicle is subject to a perfected security interest?

I.

On July 27, 1979, Shirl and Edward E. Morgan obtained from defendant, United California Bank (UCB),1 a personal loan for $17,146 to finance the purchase of a mobilehome. The Morgans...

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