Piggott State Bank v. Pollard Gin Co.

Decision Date09 October 1967
Docket NumberNo. 5--4275,5--4275
Parties, 4 UCC Rep.Serv. 785 PIGGOTT STATE BANK, Appellant, v. POLLARD GIN COMPANY, Appellee.
CourtArkansas Supreme Court

Gus R. Camp, Piggott, for appellant.

Kirsch, Cathey & Brown, Paragould, for appellee.

GEORGE ROSE SMITH, Justice.

The one question in this case is whether the plaintiff-appellant bank, in lending $1,200 to Denzil Karnes upon the security of crops to be grown by him during the ensuing year, inserted in its combined Financing Statement and Security Agreement a description of the crops sufficient to put third persons on notice under the Uniform Commercial Code. The chancellor held the description to be fatally defective and accordingly dismissed the bank's suit for conversion against the appellee gin company, which had bought the cotton crop from Karnes.

This is the description used in the Financing Statement and Security Agreement: 'CROPS. All of the following crops to be planted or growing within one year from the date hereof on the lands hereinafter described: 7 acres of cotton and 53 acres of soybeans to be produced on the lands of S. E. Karnes; 11.6 acres of cotton and 50 acres of soybeans to be produced on the lands of Mary Gilbee; 4 1/2 acres of cotton and 11 acres of soybeans to be produced on the lands of George Nixon; all of the above crops to be produced in Clay County, Arkansas during the year 1965.'

We agree with the chancellor's conclusion. With respect to crops the Code requires, both as to the financing statement and as to the security agreement, that there be a description of the land that is involved. Ark.Stat.Ann. §§ 85--9--203 and 85--9--402 (Add.1961). The description 'is sufficient whether or not it is specific if it reasonably identifies what is described.' Section 85--9--110. The Commissioners' Comment to the latter section states: 'The test of sufficiency of a description laid down by this Section is that the description do the job assigned to it--that it make possible the identification of the thing described.'

Here the description referred merely to seven acres of cotton to be produced on the lands of S. E. Karnes (together with two other similar references). Neither the security instrument nor the proof adduced at the trial sheds any light whatever upon the questions (a) whether Denzil grew exactly seven acres of cotton on the S. E. Karnes land in 1965 and (b) whether anyone else was also growing cotton upon the S. E. Karnes land. We need not...

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19 cases
  • In re Keene Corp.
    • United States
    • U.S. Bankruptcy Court — Southern District of New York
    • 17 d2 Outubro d2 1995
    ...debtor's property. Where the lienor is unable to do so, its security interest must fall. See, e.g., Piggott State Bank v. Pollard Gin Co., 243 Ark. 159, 160-61, 419 S.W.2d 120, 121 (1967) (security agreement identifying collateral as seven acres of cotton to be grown by the debtor on anothe......
  • In re Roberts
    • United States
    • U.S. Bankruptcy Court — District of Kansas
    • 24 d5 Fevereiro d5 1984
    ...Peoples' Bank v. Pioneer Food Indus., Inc., 253 Ark. 277, 486 S.W.2d 24, 11 UCC Rep. 651 (1972); Piggott State Bank v. Pollard Gin Co., 243 Ark. 159, 419 S.W.2d 120, 4 UCC Rep. 785 (1967), the extent of these holdings must be questioned in light of a decision by the Arkansas federal distric......
  • Corning Bank v. Bank of Rector
    • United States
    • Arkansas Supreme Court
    • 19 d1 Fevereiro d1 1979
    ...whether the description made possible the identification of the real estate. Commentary, § 85-9-110. See also, Piggott State Bank v. Pollard Gin Co., 243 Ark. 159, 419 S.W.2d 120; People's Bank v. Pioneer Food Industries, Inc., 253 Ark. 277, 486 S.W.2d 24. In a financing statement filed as ......
  • Lawhon Farm Supply Inc. v. Hayes
    • United States
    • Arkansas Supreme Court
    • 21 d1 Fevereiro d1 1994
    ...real estate is sufficient whether or not it is specific if it reasonably identifies what is described. In Piggott State Bank v. Pollard Gin Co., 243 Ark. 159, 419 S.W.2d 120 (1967), this court identified the test of sufficiency of a description of land on which crops are grown is to make po......
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