Mack Financial (Canada), Ltd. v. Joelson Concrete Pipe Co.

705 F. Supp. 553, 1989 U.S. Dist. LEXIS 1366, 1989 WL 9876
CourtDistrict Court, M.D. Florida
DecidedFebruary 6, 1989
DocketNo. 87-284-CIV-T-17(C)
StatusPublished

This text of 705 F. Supp. 553 (Mack Financial (Canada), Ltd. v. Joelson Concrete Pipe Co.) is published on Counsel Stack Legal Research, covering District Court, M.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Mack Financial (Canada), Ltd. v. Joelson Concrete Pipe Co., 705 F. Supp. 553, 1989 U.S. Dist. LEXIS 1366, 1989 WL 9876 (M.D. Fla. 1989).

Opinion

ORDER ON MOTION FOR SUMMARY JUDGMENT

KOVACHEVICH, District Judge.

The cause is before the Court on Defendant’s motion for summary judgment, response thereto, and court-ordered joint memorandum.

This circuit clearly holds that summary judgment should only be entered when the moving party has sustained its burden of showing the absence of a genuine issue as to any material fact when all the evidence is viewed in the light most favorable to the nonmoving party. Sweat v. The Miller Brewing Co., 708 F.2d 655 (11th Cir.1983). [554]*554All doubt as to the existence of a genuine issue of material fact must be resolved against the moving party. Hayden v. First National Bank of Mt. Pleasant, 595 F.2d 994, 996-7 (5th Cir.1979), quoting Gross v. Southern Railroad Co., 414 F.2d 292 (5th Cir.1969). Factual disputes preclude summary judgment.

The Supreme Court of the United States held, in Celotex Cory. v. Catrett, 477 U.S. 317, 106 S.Ct. 2548, 91 L.Ed.2d 265 (1986),

In our view the plain language of Rule 56(c) mandates the entry of summary judgment, after adequate time for discovery and upon motion, against a party who fails to establish the existence of an element essential to that party’s case, and on which that party will bear the burden of proof at trial. Id. at 273.

The Court also said, “Rule 56(e) therefore requires that nonmoving party to go beyond the pleadings and by her own affidavits, or by the ‘depositions, answers to interrogatories,, and admissions on file,’ designate ‘specific facts showing there is a genuine issue for trial.’ ” Celotex Corp., 477 U.S. at 324, 106 S.Ct. at 2553, 91 L.Ed.2d at 274.

Complaint in this cause was filed February 25, 1987. The complaint alleges: That Plaintiff sold two trucks and sleeper bunks to R.S.T. Enterprises on November 29 and December 5, 1985. That R.S.T. defaulted on the sales contracts by failing to make payments due Plaintiff. That Defendant Joelson is presently in possession of the trucks and bunks and that Plaintiff is without knowledge as to how Defendant came into possession. Plaintiff alleges that Defendant acquired possession subject to Plaintiff’s rights as owner or holder of a security interest. The complaint seeks possession of the trucks and bunks and damages for wrongful detention of the property-

FINDINGS OF FACT

1.Plaintiff financed the sale of two Mack trucks and sleeper bunks sold pursuant to Conditional Sale Agreements dated November 29, 1985, and December 5, 1985. Plaintiff became the assignee of the seller’s rights. The parties agree that Plaintiff had a perfected security interest in the property under Canadian law.

2. Plaintiff has provided copies from the Personal Property Security Registration System of the Province of Ontario for the vehicles in question. (Ex. 3 and 4 to memorandum in opposition to motion for summary judgment). Plaintiff asserts that, in accordance with Chapter 375, Revised Statues of Ontario, 1980, it perfected its rights as conditional seller.

3. In 1986, Defendant was interested in acquiring one or more Mack trucks. Defendant, through its President Roger Beacon and a mechanic, met with a truck broker in Knoxville, Tennessee. The broker took Beacom and the mechanic to Parklane Truck Sales, which is apparently located in Chicamaunga, Georgia.

4. At Parklane Beacom was introduced to Waylon Murdock, represented to be a truck broker. Beacom and the mechanic examined a Mack truck they were interested in and inquired if any similar trucks were available. Mr. Murdock said one would be available the next day!

5. At Parklane, Beacom also met Barry Cunningham, who represented himself as President of R.S.T. Enterprises, owner of the trucks. Both of the trucks had the name “Mid Industries” with a Kitchner, Ontario, Canada address painted on the side. Beacom became aware that the trucks were built in Canada. Mr. Beacom asked both Mr. Cunningham and Mr. Mur-dock were free and clear of liens. He was advised by both men that they were. Mr. Cunningham showed Beacom what he purported were title certificates from Ontario, Canada. (According to the Ontario Minister of Transportation, the Providence of Ontario, Canada issues registration certificates, rather than title certificates). Bea-com found no notations on the certificates of notations of liens nor does there appear to be a place for the notation of liens on the form.

6. Mr. Beacom contacted the Tennessee Division of Motor Vehicles, explained the transaction, and was advised there was no [555]*555problem with the transaction, as far as the State of Tennessee.

7. Mr. Beacom then wrote two checks, each for $47,500.00 and Mr. Cunningham surrendered the purported certificates and bills of sale were prepared. The bill of sales are dated March 21, 1986, and no liens or encumbrances are indicated thereon. (Exs. A and B to Deposition of Roger Beacom). The trucks were then driven to Florida.

8. Mr. Beacom testified that he received titles to the two trucks from Mr. Cunningham. He brought them back and gave them to the corporate secretary and comptroller, Mr. Connelly. The titles were, Mr. Beacom believes, Canadian. Mr. Beacom does not recall any notation of liens on those titles. The titles were taken to the courthouse to obtain licenses.

9. Pursuant to Ch. 319, Florida Statutes, Defendant Joelson applied to the Florida Department of Motor Vehicles for Florida title certificates, submitting the purported Canadian title certificates, bills of sales and required affidavits in support thereof. - On May 15, 1986, title certificates to Defendant, neither certificate notes any liens, including Plaintiff’s, on the trucks.

10. In the court-ordered joint memorandum, the parties agree: 1) that Plaintiff had a perfected security interest in the subject vehicles under Canadian law; 2) that Defendant purchased for value the subject vehicles and without actual knowledge of the existence of the Canadian liens; and 3) that the Florida Department of Motor Vehicles issued certificates of title in favor of Defendant and that no liens are noted upon the certificates of title. CONCLUSIONS OF LAW

1. Defendant asserts that this cause of action is controlled by Section 319.27(4)(c), Florida Statutes, which states:

When a Florida certificate of title has been issued on a motor vehicle or mobile home previously titled or registered outside this state, liens valid in and registered under the law of the state wherein such liens were created are not valid in this state unless filed and noted upon the certificate of title under the provision of this section.

2. Plaintiff contends that Chapter 319 does not apply to defeat the rights under a conditional sales contract, but only operates to defeat liens.

3. Plaintiff further asserts that there is a factual issue as to whether it retained title to the vehicles or retained a security interest.

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705 F. Supp. 553, 1989 U.S. Dist. LEXIS 1366, 1989 WL 9876, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mack-financial-canada-ltd-v-joelson-concrete-pipe-co-flmd-1989.