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Bussell's Appliance is a retailer that sells home appliances to consumers. Bussell's sold a 70 inch Flat Screen TV to Scruggs for $2,500. Scruggs paid

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Bussell's Appliance is a retailer that sells home appliances to consumers. Bussell's sold a 70 inch Flat Screen TV to Scruggs for $2,500. Scruggs paid $500 down and financed the rest with Bussell's by signing a Security Agreement, agreeing to pay the balance over the next 36 months. Bussell's did not file a financing statement. Scruggs set the TV up in his home theatre room and enjoyed using it to watch sports and movies at home with friends and family. A year later Scruggs received a job transfer so he sold the TV to his neighbor Baker for $1,500 and Scruggs moved to Phoenix. Baker paid Scruggs in cash and Scruggs did not tell Baker that he still owed money to Bussell's on the TV. Scruggs made no more payments on the TV after he moved and has defaulted on the loan to Bussell's. In trying to collect on what they are owed, Bussell's found out that the TV is now in Baker's possession. Bussell's has notified Baker that they have a security interest in the TV and they want it back. Baker claims the TV belongs to him since he paid $1,500 to Scruggs for it. Since Scruggs is now long gone, who wins between Bussell's and Baker? Discuss your conclusion

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