Commercial Money Center, Inc. (CMC) leased equipment to lessees. CMC assigned rights to the payments owed under a group of leases to Net.Bank, Inc. (NetBank) (defendant) through a series of Sale and Servicing Agreements (SSAs) in 1999 and 2000. CMC also assigned a separate security interest in the actual lease agreements to NetBank to secure the SSAs. In 2002, CMC filed bankruptcy. The bankruptcy trustee (plaintiff) filed this adversary proceeding against NetBank, seeking to set aside NetBank’s interests in the payment streams. The parties moved for summary judgment. The bankruptcy court determined that the payment streams constituted chattel paper rather than payment intangibles. Security interests in chattel paper are not automatically perfected. The bankruptcy court also determined that the SSAs were loans, rather than sales. The court ruled that NetBank did not take possession of the leases or file financing statements. Therefore, the bankruptcy court ruled in favor of the trustee. NetBank appealed.