Curtin v. Isaacsen

15 S.E. 171, 36 W. Va. 391, 1892 W. Va. LEXIS 84
CourtWest Virginia Supreme Court
DecidedApril 2, 1892
StatusPublished
Cited by18 cases

This text of 15 S.E. 171 (Curtin v. Isaacsen) is published on Counsel Stack Legal Research, covering West Virginia Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Curtin v. Isaacsen, 15 S.E. 171, 36 W. Va. 391, 1892 W. Va. LEXIS 84 (W. Va. 1892).

Opinion

Brannon, Judge:

Leon Isaacsen was engaged in the lumber business in [392]*392Randolph county and engaged with the firm of G-. W. Cur-tin & Co., lumber dealers, to furnish them logs and lumber. From time to time G. W. Curtin & Co. advanced Isaacsen various sums of money to enable him to purchase logs and lumber, which he was to sell to Curtin & Co., until on settlement on the 22d April, 1889, it was found that Isaacsen owed Curtin & Co. eight thousand nine hundred and thirty live dollars and twenty five cents, and on that date he executed a deed whereby he conveyed to Curtin & Co., in consideration of such indebtedness, a tract of land, the timber on several tracts of land, and a large quantity of lumber, including therein two hundred thousand feet purchased of Marshal] Scott and stacked on said Scott’s land, and certain horses, wagons, and harness.

This deed was recorded. Substantially, it conveyed all the property Isaacsen possessed. At the time of the execution of said deed a written agreement was made between Curtin & Co. and Isaacsen, reciting the execution of said deed, and providing that the poplar lumber by it conveyed should be delivered by Isaacsen at certain points, as Curtin & Co. should direct, and that Curtin & Co. should receive and inspect and credit it on said eight thousand nine hundred and thirty five dollar’s and twenty five cents, at prices specified; that Curtin & Co. should advance to Isaacsen four dollars per thousand feet of lumber, payable every two weeks as the inspection should be made, to be deducted from the price fixed for the lumber; that after all the lumber should be delivered, if its value exceeded said debt, the excess should be paid to Isaacsen, and the land, wagons, horses and harness should he reconveyed to Isaacsen. This agreement was not recorded.

Under said agreement Isaacsen delivered a part of said lumber to Curtin & Co., but became, from want of means and pressure of creditors, unable to further execute it, and suspended work.

Several creditors of Isaacsen sued him, and levied executions and attachments on the lumber and other chattels conveyed by said deed to Curtin & Co.; and thereupon Curtin & Co. brought a chancery suit in Randolph Circuit Court against Isaacsen and Bucky and other creditors, praying [393]*393that said deed and agreement be held to constitute a mortgage on said property, and that said creditors be enjoined from enforcing their attachments and executions, and that a receiver be appointed to take charge pf and sell said personal property, and that the land be sold, in order to pay their said debts.

The said creditors answered, attacking said deed and agreement between Isaacsen and Curtin & Co. as fraudulent and void as to them.

Marshall Scott, having sold Isaacsen certain timber growing upon Scott’s land, and agreed to saw it into lumber for Isaacsen, and having sawed it accordingly, broughfa chancery suit, and levied an attachment on said lumber to recover the debt clue him from Isaacsen for the lumber, claiming that, as the lumber was yet on his land, he had a lien for its price, as well as an attachment lien; assailing said deed and agreement between Isaacsen and Curtin & Co. as fraudulent and void, and asking that the lumber on his land be sold to pay his debt.

Curtin & Co. contested Scott’s lien and demand, as did also Isaacsen, and Curtin & Co. claimed priority over Scott by reason of said conveyance to them from Isaacsen. A decree in the two causes, heard together, held the said deed from Isaacsen to Curtin & Co. void as to the debts of said creditors, postponed the debt of Curtin & Co. to the debts of such creditors, according Scott preference for his debt on the lumber which he had sold Isaacsen. From this decree Curtin & Co. appeal.

Is the deed void as to the creditors attacking it? Let us view it alone, separate from the agreement made contemporaneously with it. Its face declares it to be an absolute sale of the chattels in question. As such, our statute does not require it to be recorded, and its recordation works no legal effect. The sale was not accompanied by delivery of possession, but as shown by the agreement, the admission of Curtin & Cp.’sbill, and the evidence, the parties intended the property to continue, and it did continue, in Isaac-sen’s possession ; and thus the transfer was prima facie void as to creditors. Davis v. Turner, 4 Gratt. 422.

In the case of Bindley v. Martin, 28 W. Va. 773, it was [394]*394held that in an absolute sale of personal property the fact, that the vendor continues in possession, raises the legal presumption that the sale is fraudulent as to creditors of the vendor, throwing imperatively upon the vendee the burden of proving fairness and good faith, and that this can not be done without sufficient evidence that the sale was for a fair and valuable consideration, and that after the sale the vendor did not continue to have an interest in the property by some secret understanding, and that in the absence of evidence to show such consideration, and that the vendor did not yet retain an interest, the legal presumption that he did have yet such interest, and that the sale was not for a fair and valuable consideration, becomes absolute and conclusive.

In sales of chattels delivery is the marked sign of sale, importing that, as possession has changed, so has title changed; and where possession remains with the seller, leaving him thus outwardly to the world still the owner, the law holds him such until it be shown that there has been a sale for a fair and valuable consideration, which is necessary in all sales, and moreover, that the seller l’etained no interest, notwithstanding he is yet in possession.

Now, then, in the present case, it does seem there was a fair and valuable consideration ; but there was no delivery of possession, and the seller retained a substantial interest in the property. He was to get all the proceeds of the lumber after payment of the debt. He was to get four dollars per one thousand feet of lumber in aid of his delivery, and have a re-transfer of wagons, horses, and harness. The agreement shows that he retained an interest. It is not a mere presumption. He yet owned the property subject only to the debt. Viewing it as a sale, I see no reason why it is not voidable at the suit of creditors. •

But Curtin & Co. claim that it was not in fact a sale but a mortgage, and propound the proposition that as a mortgage the transaction is valid. No brief is, filed in their behalf to uphold this contention, and I am unable to see any substantial ground to support it. Looking at the two instruments together, as we may do, since being contemporaneous in execution they are parcels of one transaction, [395]*395and together constitute the act, they create a mortgage. If, as a mortgage, it does not fall under the head of an absolute sale, above discussed, then we must regard it as a deed of trust. A deed of trust of personalty is a recordable writing and if recorded is valid, though the possession remains with the grantor. If both the deed and agreement had been recorded, doubtless they would be valid.

It may be argued for Curtin & Co.

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

Related

Frederick v. Stump
67 S.E.2d 613 (West Virginia Supreme Court, 1951)
Reconstruction Finance Corp. v. Sun Lumber Co.
126 F.2d 731 (Fourth Circuit, 1942)
In Re Eakin Lumber Co.
39 F. Supp. 787 (N.D. West Virginia, 1941)
In Re Sachs
30 F.2d 510 (Fourth Circuit, 1929)
Joseph v. Winakur
30 F.2d 510 (Fourth Circuit, 1929)
Miller v. Correll
124 S.E. 683 (West Virginia Supreme Court, 1924)
Acadian Coal & Lumber Co. v. Brooks Run Lumber Co.
107 S.E. 422 (West Virginia Supreme Court, 1921)
Smith v. Sunday Creek Co.
82 S.E. 608 (West Virginia Supreme Court, 1914)
Welch Lumber Co. v. Pageton Lumber Co.
71 S.E. 282 (West Virginia Supreme Court, 1911)
Justice v. Moore
71 S.E. 204 (West Virginia Supreme Court, 1911)
Lohr v. George
64 S.E. 609 (West Virginia Supreme Court, 1909)
Wiggin v. Mankin
63 S.E. 1091 (West Virginia Supreme Court, 1909)
Speidel Grocery Co. v. Stark & Co.
59 S.E. 498 (West Virginia Supreme Court, 1907)
Hart v. Issaacsen
56 W. Va. 314 (West Virginia Supreme Court, 1904)
Cox v. Horner
28 S.E. 780 (West Virginia Supreme Court, 1897)
Poling v. Flanagan
23 S.E. 685 (West Virginia Supreme Court, 1895)
Cochran v. Paris
11 Gratt. 348 (Supreme Court of Virginia, 1854)

Cite This Page — Counsel Stack

Bluebook (online)
15 S.E. 171, 36 W. Va. 391, 1892 W. Va. LEXIS 84, Counsel Stack Legal Research, https://law.counselstack.com/opinion/curtin-v-isaacsen-wva-1892.