R. Anthony Dubay v. Everette H. Williams, Everette H. Williams v. Rose City Development Co., Inc., Robert J. Davis v. Everette H. Williams

Before us are three appeals from orders of the United States District Court for the District of Oregon adjudicating the claims of three creditors asserting security interests in the net proceeds of accounts receivable of the Portland Newspaper Publishing Co., Inc. (the “Bankrupt”). The three creditors are Rose City Development Company, Inc. (“Rose City”), Robert J. Davis, and R. Anthony DuBay. The Referee disallowed all three claims as preferences under section 60 of the Bankruptcy Act, 11 U.S.C. § 96 . Petitions for review resulted in orders of the District Court affirming disallowance of the claims of Davis and DuBay reversing disallowance of Rose City's claims, from which orders the parties adversely affected appeal.

The combined appeals present a chromatic scale of questions relating to the interaction of the provisions of the Uniform Commercial Code concerning security interests in accounts receivable and the preference provisions of the Bankruptcy Act. Each of the creditors claims a security interest, good against the trustee in bankruptcy, in the existing and future balances of the Bankrupt’s accounts receivable pursuant to security agreements. DuBay’s security agreement…