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Betta Prod. v. Distribution Sys. & Serv. (In re Betta Prod.)

Betta Prod. v. Distribution Sys. & Serv. (In re Betta Prod.)

Ruling
Warehouse was not liable for conversion of inventory, treated as cash collateral, where debtor continued to sell the inventory after abandonment.
Procedural posture

Debtor, a seller of paper and party products, filed an adversary proceeding against defendant warehouse, asserting that the warehouse negligently performed its duties under a contract and converted its inventory. The debtor sought damages for alleged shortfalls of inventory.

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Commercial opinion summary, case decided on April 11, 2008 , LexisNexis #0608-058