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Jeff Smith is a surety on a debt owed by Jones to Jackson. Jones is in a bankruptcy proceeding. If Smith pays the debt owed
Jeff Smith is a surety on a debt owed by Jones to Jackson. Jones is in a bankruptcy proceeding. If Smith pays the debt owed to Jackson, who has a perfected security interest in Jones's property, Smith B) Will succeed to the security interest and have rights in the collateral superior to those of all other claimants. D) Will lose his security interest because the trustee has the rights of a hypothetical lien creditor. A) Will be a general creditor because a security interest is only good between the debtor and creditor. C) is entitled to the lowest priority next to that of general unsecured creditors
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