Court Opinion

ID: 9769715
Source: CourtListenerOpinion
Date Created: 2023-08-29 14:59:36.459696+00
Date Added: 2024-06-11T07:31:07.182430
License: Public Domain

STEPHENSON, Justice,
dissenting.
I do not believe that KRS 355.9-306(2) should be given a broad enough interpretation so as to vitiate the security agreement here.
The syndicate agreement authorizes the sale of nominations for breeding seasons and further provides certain restrictions on the sale of fractional interests. I do not understand why, by inference, we should say the sale of a nomination of a breeding season should be free and clear of the security interest just for the reason the agreement did not provide otherwise. Presumably, the same holding would apply to a sale of a fractional interest. These provisions were simply between the owners of the shares as to rights and responsibilities without affecting any outstanding security interest.
We should afford more dignity to a recorded security interest than the majority has by its opinion.
Any authorization in accordance with the statute should be specific and not by inference.
*399Here, by the interpretation of the majority, the entire life of the nominations could be sold, thus completely defeating the security interest. I would require a clear showing that this was the intent of the parties rather than observe that the matter could have been provided against.
Accordingly, I dissent.
WINTERSHEIMER, J„ joins in this dissent.