Velde v. Kirsch, 543 F.3d 469 (8th Cir. 2008)

Date of decision:

(bankruptcy trustee claimed that check received by farmer from debtor in replacement of dishonored check constituted payment made within 90-day period before bankruptcy filing and, thus, was prohibited preference under 11 U.S.C. §547(b); court held that because replacement check resulted in release of farmer’s security interest in collateral, it was a contemporaneous exchange for new value falling within exception to trustee’s avoidance powers).

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