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§ 546(c)(1)

In re Magwood

Ruling
Seller's right to reclaim vehicle was stayed on petition date.
Procedural posture

Creditor filed a motion for relief from the automatic stay to exercise its right under 11 U.S.C.S. § 546(c)(1) to reclaim a vehicle sold to the debtor. The debtor objected to the motion. The issue was whether a sale must have been in the ordinary course of business of both the buyer and seller to give the seller a right of reclamation.

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Consumer opinion summary, case decided on February 22, 2008 , LexisNexis #0308-122