Charles, an art lover and connoisseur, recently purchased a Renoir from an art dealer. He financed the purchase through a loan from First Bank, and he signed a security agreement with the Renoir as collateral. The bank immediately perfected the security interest by filling a financing statement.

Unfortunately for Charles, the humid weather of Missouri began to damage the painting and he was forced to store the painting in a humidity controlled room at his friend Tom’s house for $30 dollars a month.

Charles then fell on hard times and defaulted to both Tom and First Bank. Both First Bank and Tom are claiming a right to Renoir. Tom claims that he has a storage lien arising by state statute. Which statement is correct?

A. First Bank's security interest in the painting would have priority over any storage lien Tom may hold.

B. If Tom’s has a storage lien, it will have priority over First Bank's security interest.

C. Neither First Bank nor Tom has a right to the painting.

D. More information is needed to determine which creditor has priority.