Q: In this task, you will be shown a prompt from a judicial decision and multiple holding statements derived from citations following text in a legal decision. Holdings represent the governing legal rule when the law is applied to a particular set of facts. There are five answer choices for each citing text. The correct answer is the holding statement that corresponds to the citing text. The four incorrect answers are other holding statements. You should find the correct option. There is a <HOLDING> token in the position of the citing text prompt where the holding statement was extracted.
S.D.Ohio 2008) ("[T]o defeat the trustee's status, a creditor must possess a perfected security interest on the date the debtor filed a bankruptcy petition." (internal quotation marks omitted)). Under 544(a)(2), the trustee has the rights and powers of an unsatisfied execution creditor, a hypothetical "creditor that extends credit to the debtor at the time of the commencement of the case, and obtains, at such time and with respect to such credit, an execution against the debt- or that is returned unsatisfied at such time...." 11 U.S.C. 544(a)(2). A creditor obtaining such an execution could not use it to avoid or otherwise obtain priority over prior perfected mortgages. See Fundex Capital Corp. v. Balaber-Strauss (In re Tampa Chain Co.), 53 B.R. 772, 777-78 (Bankr.S.D.N.Y.1985) (<HOLDING>). Likewise, the holder of a mortgage that is
Holding statements: (A) holding that one who acquires legal title with notice of a prior equitable interest in the property is not a bona fide purchaser (B) holding that unsatisfied execution creditor had rights in property superior to all but prior secured creditors and bona fide purchasers for value (C) holding that the rights of a bona fide purchaser outweighed those of an under secured second mortgage holder (D) recognizing that if a creditors claim is subject to a bona fide dispute that creditor lacks standing to file an involuntary petition (E) holding that property seized by a creditor prior to debtors bankruptcy was property of the estate even though creditor the irs held a secured interest a tax lien in the property
A:
(B)