Question: 13.1 Financing Statement PSC Metals, Inc. (PSC), entered into an agreement whereby it extended credit to Keystone Consolidated Industries, Inc., and took back a security

13.1 Financing Statement PSC Metals, Inc. (PSC), entered into an agreement whereby it extended credit to Keystone Consolidated Industries, Inc., and took back a security interest in personal property owned by Keystone. PSC filed a financing statement with the state, listing the debtors trade name, Keystone Steel & Wire Co., rather than its corporate name, Keystone Consolidated Industries, Inc. When Keystone went into bankruptcy, PSC filed a motion with the bankruptcy court to obtain the personal property securing its loan. Keystones other creditors and the bankruptcy trustee objected, arguing that because PSCs financing statement was defectively filed, PSC did not have a perfected security interest in the personal property. If this were true, then PSC would become an unsecured creditor in Keystones bankruptcy proceeding. Is the financing statement filed in the debtors trade name, rather than in its corporate name, effective? In re FV Steel and Wire Company, 310 B.R. 390, 2004 Bankr. Lexis 748 (United States Bankruptcy Court for the Eastern District of Wisconsin, 2004)

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