First Bank has a properly perfected security interest in an expensive painting owned by Michael Moneybags. Moneybags had the painting on display in his dining room in his home.
First Bank misinterpreted the terms of default in the contact and wrongfully
repossessed the painting. While First Bank did wrongfully repossess the painting,
they did so under a good faith believe that Moneybags was in default.
When Moneybags refused to turn over the painting, First Bank hired a repo-man
who broke into Moneybag’s house and repossessed the painting.
Which statement is correct?
a) Moneybags is entitled to damages in the amount of any loss caused First Bank's unlawful entry into Moneybags' home.
b) Moneybags can recover damages under section 9-625(d) and can also recover damages for trespass under tort law.
c) Moneybags cannot recover punitive damages from First Bank because it believed in good faith that Moneybags was in default.
d) Moneybags will have no cause of action if First Bank promptly returns the painting.