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NEWTEK SMALL BUS. FIN. v. TEX. FIRST CAP., INC.

CIVIL ACTION NO. 22-2461.

644 F.Supp.3d 113 (2022)

NEWTEK SMALL BUSINESS FINANCE, LLC, Plaintiff, v. TEXAS FIRST CAPITAL, INC., Defendant.

United States District Court, E.D. Pennsylvania.

Signed December 7, 2022.

Attorney(s) appearing for the Case

John J. Winter, The Chartwell Law Offices, LLP, Eagleville, PA, for Plaintiff.

Thomas R. Dominczyk, Maurice Wutscher, LLP, Flemington, NJ, for Defendant.

MEMORANDUM OPINION

This case arises out of two creditors, burned by their common debtor, fighting over the scraps. The default rule under the Uniform Commercial Code for resolving this kind of fight is first in time, first in right. However, in certain instances, the Code cuts off a security...

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