Bernheimer v. Adams

70 A.D. 114, 75 N.Y.S. 93
CourtAppellate Division of the Supreme Court of the State of New York
DecidedMarch 15, 1902
StatusPublished
Cited by14 cases

This text of 70 A.D. 114 (Bernheimer v. Adams) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bernheimer v. Adams, 70 A.D. 114, 75 N.Y.S. 93 (N.Y. Ct. App. 1902).

Opinions

Laughlin, J.:

This is a replevin action to recover a storm house, an iron awning, two urinals, two water closets and twenty feet of oak partition, which were erected upon or attached to the building known as Mo. 549 Hudson street in the city of Mew York, by lessees of the premises.

The plaintiffs in their complaint base their claim of title on a chattel mortgage executed to them by Anna Mahoney on the 10th day of September,' 1897, to secure her promissory note. The defendant in his answer bases his claim.-of title upon a deed of the premises executed to him on the 19th day of December, 1895, pursuant to a judgment of foreclosure, prior to which time those chattels had been attached to the freehold. At the same time that the chattel mortgage was executed, or prior thereto, but on- the same day, the defendant executed a lease of the premises to the plaintiffs’ mortgagor for the term of three years seven months and fifteen days from the 15th day of September, 1897. This lease makes no reservation of any existing right on the part of the tenant to remove these alleged trade fixtures. The chattel mortgage also covered the lease.

[117]*117On the 2d day of March, 1893, William H, Ramsey, who then owned the premises, leased the same to Lee & Block for saloon purposes for the term of five years from May-1, 1893. This lease was recorded March 3, 1893. The plaintiffs thereafter and during the same year sold and delivered to said Lee & Block, and installed all the chattels in question, except the iron awning, and pursuant to the contract of sale took back a chattel mortgage thereon and on other property, including the lease, to secure the purchase price of this and the other property. That chattel mortgage was both filed and recorded on the 30th day of March, 1893. There were several transfers of the saloon business and the fixtures, subject to said chattel mortgage, which was assumed by the respective transferees. In June, 1896, after the defendant acquired title to the premises, the firm of Mahoney & O’Neill became the owners of the saloon business and fixtures, subject to said mortgage, which they likewise assumed.

It was not shown whether or not the first lease was cut off by the foreclosure under which the defendant obtained title, but it appears that shortly thereafter the defendant leased the premises to said last-mentioned firm, and upon its dissolution Mahoney succeeded to the rights of the firm and obtained another lease from the defendant for the term of five years from May 1, 1896. Whether he made any reservation of his rights to the property in this lease or otherwise does not appear, but no claim was made upon the trial or is urged here that if the rights of the mortgagees survived the purchase by the defendant they were cut off by this lease.

Mahoney subsequently erected the awning with moneys advanced by the plaintiffs, and thereupon, on the sixteenth day of May, he executed to them a new chattel mortgage covering the property in question and more, and also the lease, to secure the original and this last indebtedness. The plaintiffs foreclosed this chattel mortgage, and said Mahoney’s wife, Anna Mahoney, purchased the property on the foreclosure sale on the 10th day of September, 1897, and thereupon, apparently to secure the entire purchase price, executed the chattel mortgage upon which the complaint is based.

It appears that at about the time of said purchase of the property by Anna Mahoney, her husband was dispossessed by defendant for the non-payment of rent. Mahoney’s testimony with reference to [118]*118the lapse of time between his being dispossessed and his wife’s obtaining possession is conflicting. He says that she immediately followed him in possession, and also that the place was closed for a time. In December, 189Y, the plaintiffs foreclosed the mortgage last referred to and bought in the property themselves. It does not appear definitely, but the presumption is that Anna Mahoney as lessee was then in possession, for her term as lessee had not expired. The plaintiffs then proceeded to remove the mortgaged property, which, in addition to the property in question, consisted of a bar and other saloon fixtures. The defendant was present and did not question their right to remove any of the property which he thought could be ■removed without material injury to the building. He appears to have asserted no claim of title upon any other ground than by virtue of his deed and because, in his opinion, the articles in question could not be removed without serious injury to the freehold. He accordingly permitted the removal of the bar, which was attached to the wall by screws, and upon its removal the wall was left discolored. Furthermore, he at that time purchased some of the gas" fixtures of the plaintiffs, thus clearly recognizing their title.

The case seems to have been tried without much regard to the pleadings, and the plaintiffs were permitted to trace their title without objection on that ground. But the record does not disclose that the defendant made any claim of title other than by virtue of his deed. It appears, ’ however, that at the close of the evidence, in answering the motion made by plaintiffs’ counsel for the direction of . a verdict, the defendant’s counsel asserted that, under the general rule, if the tenant accepted a new lease without removing the fixtures or reserving the light to do so, the right is lost and the fixtures become a part of the realty; but he made his motion for a dismissal of the complaint solely upon the ground that the fixtures were attached at the time of the defendant’s purchase.

The articles in question were attached to the premises as trade fixtures. They constituted part of the saloon fixtures, essential to ■properly equip the leased premises for the accommodation of the patrons of the lessee. It does not appear whether the mortgage was executed before they were attached ; but the fair inference is that their sale, annexation to the freehold and the mortgage constituted one transaction. In these circumstances, the law presumes [119]*119that the parties intended that the chattels should remain personal property. (Globe Marble Mills Co. v. Quinn, 76 N. Y. 23, 26; New York Life Ins. Co. v. Allison, 107 Fed. Rep. 179; Tifft v. Horton, 53 N. Y. 377; New York, Investment Co. v. Cosgrove, 47 App. Div. 35.) The- plaintiffs, therefore, as mortgagees, held title at the time of the purchase of the property by the defendant. He has no prior equities over these owners, and he took subject to their rights. (Sisson v. Hibbard, 75 N. Y. 542; Globe Marble Mills Co. v. Quinn, supra.)

When the defendant obtained title to the premises, the lease under which the plaintiffs held their mortgage had not expired, unless it was terminated by the decree in foreclosure. Even if it were so terminated, the rights of the mortgagees survived, at least for a reasonable time, to enable them to remove their property. (London & Westminster Loan c& Discount Co. v. Drake, 6 C. B. [N. S.] 798; Saint v. Pilley, L. R. 10 Exch. Cas. 137; Updegraff v. Lesem, 62 Pac. Rep. 342; Royce v. Latshaw, Id. 627; Alberson v. Elk Creek Gold-Miming Co., 65 id. 978; 1 McAdam Landl. & Ten. [3d ed.) 716; Lewis v. Ocean Navigation & Pier Co., 125 N. Y. 341.) It thus appears that the only claim of title asserted by the defendant in his answer and upon the trial cannot be sustained.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Wedtke Realty Corp. v. Karanas
13 A.D.2d 615 (Appellate Division of the Supreme Court of New York, 1961)
Benenson v. Ritzmann
203 Misc. 768 (New York Supreme Court, 1951)
Greenspan-Greenberger Co. v. the Goerke Co.
162 A. 87 (New Jersey Court of Chancery, 1932)
Barth v. G. W. Koch & Son, Inc.
203 A.D. 62 (Appellate Division of the Supreme Court of New York, 1922)
In re Howard Laundry Co.
203 F. 445 (Second Circuit, 1913)
Equitable Guarantee & Trust Co. v. Hukill
85 A. 60 (Court of Chancery of Delaware, 1912)
Tham v. Carroll
147 A.D. 229 (Appellate Division of the Supreme Court of New York, 1911)
In re City of New York
66 Misc. 488 (New York Supreme Court, 1910)
Excelsior Brewing Co. v. Smith
125 A.D. 668 (Appellate Division of the Supreme Court of New York, 1908)
Brunswick Construction Co. v. Burden
116 A.D. 468 (Appellate Division of the Supreme Court of New York, 1906)
Bergh v. Herring-Hall-Marvin Safe Co.
136 F. 368 (Second Circuit, 1905)
German-American Bank v. Cunningham
97 A.D. 244 (Appellate Division of the Supreme Court of New York, 1904)

Cite This Page — Counsel Stack

Bluebook (online)
70 A.D. 114, 75 N.Y.S. 93, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bernheimer-v-adams-nyappdiv-1902.