Unpublished Dispositionfederal Deposit Insurance Corp., Plaintiff, v. Cardinal Resources, Inc. et al., Defendants,andcumberland Valley National Bank, Defendant-appellant,andutica Mutual Insurance Company, Defendant-appellee, 888 F.2d 127 (6th Cir. 1989)

Defendant-appellant, Cumberland Valley National Bank ("Cumberland") appeals from the order of the district court granting summary judgment for defendant-appellee, Utica Mutual Insurance Company ("Utica").¹  The matter arose from a priority dispute over 14 certificates of deposit assigned to Utica by defendant Cardinal Resources Inc. but held by Cumberland.

The district court concluded: first, that by retaining the certificates of deposit for safekeeping, Cumberland acted as a bailee for Utica; and second, that Utica perfected a superior security interest in the certificates of deposit by taking possession via Cumberland. Since Cumberland merely acted as bailee, Utica's certificates of deposit maintained their perfected status in Cumberland's hands.

After review of counsels' oral argument, the record, and the briefs submitted in this case, we find no error warranting reversal. Therefore, we AFFIRM the judgment of the district court which was issued on January 4, 1989, in the well-reasoned opinion and order of the Honorable Eugene E. Siler, Jr., Chief Judge for the Eastern District of Kentucky.