Bernhardt v. Sandel

4 La. App. 648, 1923 La. App. LEXIS 3
CourtLouisiana Court of Appeal
DecidedJanuary 18, 1923
DocketNo. 1775
StatusPublished
Cited by3 cases

This text of 4 La. App. 648 (Bernhardt v. Sandel) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bernhardt v. Sandel, 4 La. App. 648, 1923 La. App. LEXIS 3 (La. Ct. App. 1923).

Opinion

DAWKINS, J.

On the first day of January, 1920, plaintiff leased to Geo. E. Mc-Graw, a building in the City of Monroe, to [649]*649cover a period of twelve months, commencing on the 1st day of January, 1920, and ending on the 31st day of December of that year. On the 16th of February, 1920, Mc-Graw sold the lease he had so acquired to one Charles Sandel, together with a lot of household effects such as are used in conducting a boarding house, only part of the purchase price .being paid in cash, and notes were given for the balance secured by vendor’s lien and chattel mortgage on the goods sold to Sandel.

On January 1, 1921, Mrs. Bernhardt, the plaintiff, leased the building which she had leased to McGraw for the year 1920, to Charles Sandel, for a period of three years, beginning January 1, 1921, at a monthly rental of $150.00. Sandel having defaulted on the payment of the rent for the months of September, November and December, 1921, plaintiff brought this action to recover judgment for the rent then due on the lease and for such other sums that should fall due during the pendency of the action. She caused a writ of provisional seizure to issue, along with her demand, under which the furniture and other property in the leased building were seized. In her demand, she has averred the lessor’s privilege on all the effects in the building existed in her favor, and stood as pledge for the payment of her privilege.

There was the usual prayer in -her petition that her privilege be recognized, the writ sustained, and the proceeds from the sale of the seized property be paid to her by preference, and for judgment for the sums shown to be due her on the lease, and she also demanded that the lease be cancelled and annulled.

Judgment was rendered on plaintiff’s demand by default, and the sheriff proceeded to sell the seized property; thereupon, Geo. McGraw filed a third opposition in the proceedings, in which he averred the sale by him to the defendant Sandel. In February, 1920, of all the property seized by the sheriff, and his debt, privilege and chattel mortgage thereon to the amount of $950.00, and praying that he be paid the amount of his said debt and lien from the proceeds resulting from the sale of the property, in preference and by priority over plaintiff.

Defendant Sandel made no defenses to either demand, and judgment was given against him in plaintiff’s favor for the amount due on her claim up to the time of the judgment, with interest, and the rent contract was cancelled and annulled. Sometime thereafter, the court rendered judgment on the contest between plaintiff and intervenor. In this judgment, the court held that the lien and privilege on the proceeds of the property sold under third opponent’s chattel mortgage was superior to the privilege claimed by plaintiff, and the sheriff was ordered to pay the proceeds to opponent in satisfaction of his said debt to the amount of $950.00. From the judgment, the plaintiff has appealed.

The case was submitted to the court on the following statement of facts:

“It is agreed that the goods sold by G. E. McGraw to Chas. B. Sandel were in the leased premises at the time of the sale and execution of the chattel mortgage from Sandel to McGraw. That the chattel mortgage was lawfully executed and recorded in the current chattel mortgage record at the time of its execution.
“That all rent due by G. E. McGraw on his lease contract to Mrs. Bernhardt was assumed and paid by, Mr. Sandel.
“That at the expiration of the McGraw contract of lease, a new contract of lease was made between Mrs. Bernhardt and Mr. Sandel, and the provisional seizure was sued out on this lease contract.
“That the seized property has never been off the leased premises up to the time of the provisional seizure.
[650]*650’‘That Mr. Sandel owes Mrs. Bernhardt the amount of rent sued for.
“That Mr. Sandel owes Mr. McGraw the amount claimed in his opposition.
“That the chattel mortgage property sold for $445.00 which fund is claimed by G. E. McGraw.
“That other seized property sold for $75.00, upon which G. E. McGraw makes no claim.”

The issue presented in this case is the same as claimed in the case of Frank Betts & Son vs. Adam Clark; Walker Bros., third opponents, recently before this court, and No. 1510 on the docket thereof. In that case, the court said:

“The legal question presented in this case, is, which of the litigants is entitled to receive the proceeds arising from the sale of ’’the mortgaged property. It would seem that the statute (Act 198 of 1918) creating chattel mortgages, leaves no doubt as to who should receive the proceeds. Section 4 of said Act reads as follows:
“ ‘Be it further enacted, etc., that every mortgage shall be a lien on the property mortgaged from the time same is filed for recording, which filing shall be notice to all parties of the existence of said mortgage, and said lien shall be superior in rank to any privilege or lien arising subsequently thereto.”
“Plaintiff’s mortgage was executed and recorded before opponent’s privilege came into existence, and if the language of the statute is to be accepted as meaning what it states, there can be no doubt of the superiority of plaintiff’s privilege. But opponents contend (and the same contention is urged in the present case) that under Articles 2705, 2707, and 3218, they have the superior privilege. We quote these articles:
Art. 2705: “‘The lessor has, for the payment of his rent and other obligations of the lease, a right of pledge on the movable effects of the lessee, which are found on the property leased.’
Art. 2707: “‘This right of pledge effects not only movables of the* lessee and under-lessee, but also those belonging to third persons, when their goods are contained in the house or store, by their own consent, express or implied.’
Art. 2318. ‘The right which the lessor has over the products of the estate and on the movables which are found on the place leased, for his rent, is of a higher nature than a mere privilege. The latter is only enforced on the price arising from the sale of movables to which it applies. It does not enable the creditor to take or keep the effects themselves specially. The lessor, on the contrary, may take the effects themselves, and retain them until he is paid.’
“Opponents urge that since under these articles the right of pledge which is given to the lessor is of a higher nature than a mere privilege, it must be seen that Section 4 of Act 198 of 1918, does not rise higher in its effect than a mere privilege- or lien, and cannot outrank a right of pledge, which is higher than a mere privilege or lien. We take it that the word pledge is included in the word lien, as used in Section 4 of Act 198. The language of this Section is that the lien created by the mortgage ‘shall be superior in rank to any privilege or lien arising subsequently thereto’.”

We do not know if the word lien has ever been defined by the courts of this state.

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28 So. 2d 523 (Louisiana Court of Appeal, 1946)
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Cite This Page — Counsel Stack

Bluebook (online)
4 La. App. 648, 1923 La. App. LEXIS 3, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bernhardt-v-sandel-lactapp-1923.