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C & J LEASING II LTD. v. SWANSON

No. 87-969.

439 N.W.2d 210 (1989)

C & J LEASING II LTD. PARTNERSHIP, Appellant, Agri Financial Services, Inc., Plaintiff, v. Keith K. SWANSON, Nancy L. Swanson, Michael J. Reilly, and Janet L. Reilly, Appellees, Deutz-Allis Credit Corporation, f/k/a Chalmer Credit Corp. and Deutz-Allis Corporation, Allis Chalmers Farm Equipment, Inc., Mahaska Investment Company, Mic Leasing Division, First Interstate Bank of Urbandale, f/k/a Plaza State Bank, Melvin Clark, and Daniel J. Geneser, Defendants.

Supreme Court of Iowa.

Rehearing Denied May 12, 1989.

Attorney(s) appearing for the Case

Ronald A. Baybayan, Des Moines, for appellant.

Thomas H. Burke of Whitfield, Musgrave, Selvy, Kelly & Eddy, Des Moines, for appellees.

Considered by McGIVERIN, C.J., and LAVORATO, NEUMAN, SNELL and ANDREASEN, JJ.

NEUMAN, Justice.

This replevin action involves the competing interests of two innocent parties who have been equally harmed by the dishonesty of a farm implement dealer. The question is whether pertinent provisions of the Uniform Commercial Code are meant to favor the buyer of goods in the ordinary course of business or a financier holding a prior security interest in those same goods. The district court ruled in favor of the

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