United States Fourth Circuit

In plaintiffs' action under the Perishable Agricultural Commodities Act (PACA), to recover from the defendant's finance company $106,696 owed them for the sale of produce to the defendant, judgment of the district court is affirmed in part, vacated in part and remanded where: 1) the district court correctly concluded that defendant's accounts receivable were held by the finance company as collateral for a loan and therefore were subject to a PACA trust; 2) district court properly rejected the finance company's BFP defense; and 3) district court's damage award is vacated and remanded to award commodities sellers the full amount of their unpaid balance.

Appellate Information

• Decided 03/04/2010
• Published 03/04/2010

Judges

Court

• United States Fourth Circuit

Counsel