SW Legal Educational Publishing

Travel Trailer Is Consumer Good
Description Consumer defaulted on payments to seller of travel trailer, who then repossessed the trailer. New Hampshire high court held trailer is a consumer good, covered by Article 9, not a motor vehicle, which would change the nature of the security interests and the rights of the parties in the dispute.
Topic Negotiable Instruments/Commercial Paper
Key Words Consumer Good, UCC Article 9, Secured Transaction
C A S E   S U M M A R Y
Facts In a "retail Installment Contract and Security Agreement," Gaucher agreed to pay $320 monthly for seven years to Cold Springs RV for a travel trailer. Cold Springs held a security interest in the trailer. Gaucher failed to make payments on time and, after several warnings, Cold Springs repossessed the trailer and sold it to a third party. Gaucher commenced a replevin action; Cold Springs counterclaimed to recover the deficiency remaining after the sale to the third party.
Lower Court Decision Summary judgment to Gaucher on his 9-504(3) claim and statutory damages awarded under 9- 507(1), plus attorney's fees. Summary judgment to Cold Springs on its counterclaim for the deficiency. Cold Springs appealed, contending that the trial court was in error by holding that the trailer was a consumer good governed by Article 9 of the UCC. It claimed the trailer was a motor vehicle covered by statutes regarding security interest in vehicles, and that Cold Springs should have been awarded attorney's fees.
Supreme Court Decision Affirmed. The trailer was used for personal and family use; it is a consumer good. The trailer is not a motor vehicle. The contract authorized award of attorney's fees in case of litigation; the court was within its discretion to do so.
Citation Gaucher v. Cold Springs RV Corp., 700 A.2d 299 (Sup. Ct., N.H., 1997)

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