Equitable Life Assurance Society v. Chapman

282 N.W. 355, 225 Iowa 988
CourtSupreme Court of Iowa
DecidedNovember 22, 1938
DocketNo. 44444.
StatusPublished
Cited by2 cases

This text of 282 N.W. 355 (Equitable Life Assurance Society v. Chapman) is published on Counsel Stack Legal Research, covering Supreme Court of Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Equitable Life Assurance Society v. Chapman, 282 N.W. 355, 225 Iowa 988 (iowa 1938).

Opinion

Stiger, J.

— Plaintiff brought this action in replevin for possession of a farm electric lighting plant claiming that it was entitled to possession under its sheriff’s deed obtained through foreclosure of a real estate mortgage.

In 1909, Will Chapman erected a dwelling house on his 160 acre farm in Wright County. 'On March 1, 1910, he leased the premises to his son, Fred W. Chapman, one of the defendants, who continued to occupy the premises until he purchased the farm from his father in 1927. Fred W. Chapman will be referred to herein as the defendant. In 1919, defendant talked with his father about purchasing an electric lighting system for his use in the home. The substance of this conversation is as follows:

“Well, I was about to buy this plant for our own use, and I asked my father if I ever moved from the place whether he would try to keep it on the place or not. He said, ‘Go ahead and put it in. It is your property and removable as such. ’ That is the substance of the conversation I had with my father.”

Thereupon the defendant purchased from the defendant F. M. Claussen and installed an electric lighting plant, known as the Silent Alamo, which consisted of a generator, motor and batteries. To hold the generator and motor in place and prevent vibration it was necessary to attach it to a foundation or base which defendant built by pouring cement on |the concrete basement floor. This base was 15 inches high, 2 feet long and 18 inches wide. Holes were drilled in this base and filled with molten lead and the unit was attached to the foundation by four lag-screws which were screwed into the lead. The batteries were placed on a shelf in the basement and were retained in place by their own weight. Electric current was transmitted by the gen *990 erator to the batteries by wire and from tbe batteries to tbe house wiring system. This plant furnished current for the house, barn and garage. Sometime prior to 1927, tbe wires to the out buildings broke and were never repaired. Tbe wiring installed could be used to conduct current from high tension lines or other generating systems withoxxt change. When tbe defendant purchased tbe farm from bis father in 1927, it was incumbered by a mortgage to tbe plaintiff. At tbe time tbe sale was closed defendant executed to tbe plaintiff a new mortgage in tbe sum of $14,000. In 1929, tbe lighting system became unserviceable and tbe defendant replaced it with a new Delco Lighting Plant purchased from the defendant Claussen which also consisted of a generator, motor and batteries. This new lighting system was installed in identically tbe same manner as tbe first plant. To remove tbe plant from the house it was only necessary to unscrew tbe four lag-screws and disconnect tbe wire from tbe batteries.

In December, 1932, plaintiff commenced an action against Chapman to foreclose its mortgage. After tbe commencement of tbe action and execution sale, the defendant, in April, 1933, purchased new batteries from Claussen, trading in tbe old batteries and in addition gave his note to Claussen for $190 for tbe balance of tbe purchase price which stated that the note was secured by the Delco Light Plant. Plaintiff secux-ed a sheriff's deed in tbe foreclosure proceedings in January, 1934. Defendant remained in possession of tbe premises as tenant until March 1, 1937. On February 26, 1937, Claussen, learning that defendant was leaving the farm on March 1, and bis note being unpaid, wrote defendant demanding possession of tbe light plant. In compliance with this demand, Chapman, on MaxAh 1, 1937, delivered the plant and batteries to Claussen. On March 5, 1937, plaintiff commenced this action for the possession of tbe generator, motor and batteries.

At the close of tbe evidence, plaintiff and defendants each moved for a directed verdict. "With tbe consent of counsel tbe jury was discharged and it was agreed that judgment might be entex-ed by tbe court after its raling upon the motions for a directed verdict which would have tbe same force and effect as a verdict returned by tbe jury under the direction of tbe court.

The trial court sustained tbe defendant’s motion' for a directed vex’dict, found that tbe defendant Claussen was in rightful *991 possession of the lighting plant when taken by plaintiff under the writ'of replevin, and entered judgment in favor of Claussen against the plaintiff for the value of the plant.

It. is the contention of the plaintiff that the original lighting plant and the replacement plant became a fixture when installed, and, being an integral part of the real estate, it was included in the real estate mortgage and plaintiff obtained title to the plant under its sheriff’s deed. The claim of the defendants is that the plant at all times retained 'its status as a chattel.

The early ease of Teaff v. Hewitt, 1 Ohio State 511, 59 Am. Dec. 634, in defining the essential elements of a fixture, stated:

“The true criterion of a fixture is the united application of the following requisites: 1. Actual annexation to the realty, or something appurtenant thereto. 2. Application to the use or purpose to which that part of the realty with which it is connected is appropriated. 3. The intention of the party making the annexation to malm a permanent accession! to the freehold.”

With some qualifications, this court has adopted and adhered to the rule announced in the Teaff case. Ottumwa Woolen Mill v. Hawley, 44 Iowa 57, 24 Am. Rep. 719; Thomson v. Smith, 111 Iowa 718, 83 N. W. 789, 50 L. R. A. 780, 82 Am. St. Rep. 541; Speer v. Donald, 201 Iowa 569, 207 N. W. 581; Cornell College v. Crain, 211 Iowa 1343, 235 N. W. 731.

In the case of Ottumwa Woolen Mill v. Hawley, supra, we recognized that the first of the three requisites constituting a fixture — -actual annexation to the realty — was an uncertain and unsatisfactory criterion, and stated that:

“The third requisite, being the intention of the party malting the annexation to make a permanent accession to the freehold, is to our minds the controlling consideration in determining the whole question.
“The character of the physical attachment, whether slight or otherwise, and the use, are mainly important in determining the intention of the party making the annexation.”

After reviewing our prior cases which considered this subject, Justice Stevens, speaking for the court in the case of Cornell College v. Crain, supra, stated [page 1345 of 211 Iowa, page 732 of 235 N. W.]:

*992 “No doubt, this court has made the intention of the party-annexing the improvement the paramount consideration in determining whether same is a fixture or a permanent part of the realty. The method of attachment to the soil is ■of significance, but not necessarily a controlling factor.”

In the case of McCoun v. Drews, 221 Iowa 227, 265 N. W. 160, the court quotes with approval the following statement found in the case of Keating Implement & Machine Co. v. Marshall Electric Light & Power Co., 74 Tex. 605, 12 S. W. 489, relative to the third essential element of a fixture [page 231 of 221 Iowa, page 162 of 265 N. W.]:

“Third.

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282 N.W. 355, 225 Iowa 988, Counsel Stack Legal Research, https://law.counselstack.com/opinion/equitable-life-assurance-society-v-chapman-iowa-1938.