In re Wood
United States District Court for the Western District of New York
67 B.R. 321 (1986)
Relevant factsFree
Attorney Edwin M. Larkin (plaintiff) loaned $10,000 to fellow attorney Robert F. Wood (defendant), who signed a promissory note but made no payments for five years; Wood then agreed by letter to pay $1,000 and assigned the proceeds of two pending contingency-fee cases as security. Wood subsequently filed for chapter 11 bankruptcy and sought to avoid Larkin's security interest on the ground that Larkin had never perfected it by filing a UCC financing statement. The bankruptcy court agreed and held Larkin was merely an unsecured creditor.
IssueFree
Whether a secured party who rarely takes assignments must file a financing statement to perfect a security interest.