Business Law

Spotlight on Radio Shack—Priorities. In June 1995, Michael and Debra Boudreaux, doing business as D&J Enterprises, Inc., bought a retail electronics store operated under a franchise from Radio Shack. The Boudreauxes borrowed from Cabool State Bank to pay for the business and signed loan documents and a financing statement, which identified the Boudreauxes as “Debtors.” Elsewhere on the financing statement, the bank identified “D&J Enterprises, Inc., Radio Shack, Dealer, Debra K. Boudreaux, Michael C. Boudreaux” as “Debtors.” The statement covered, in part, the store inventory. Before the end of the year, the Boudreauxes changed the name of their business to Tri-B Enterprises, Inc. In January 1998, the store closed. The next month, Radio Shack terminated the franchise and, despite the lack of a security interest, took possession of the inventory, claiming the Boudreauxes and Tri-B owed Radio Shack $6,394.73. The bank filed a suit in a Missouri state court against Radio Shack, claiming a perfected security interest in the inventory with priority over Radio Shack’s claim.

Did the bank’s security interest take priority over Radio Shack’s claim? Why or why not?

Don't use plagiarized sources. Get Your Custom Essay on
Business Law
Just from $13/Page
Order Essay

[ Cabool State Bank v. Radio Shack, 65 S.W.3d 613 (Mo.App. 2002)] (See Priorities .)

Place Order
Grab A 14% Discount on This Paper
Pages (550 words)
Approximate price: -
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Try it now!

Grab A 14% Discount on This Paper

Total price:

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.