Morrow v. Reed

30 Wis. 81
CourtWisconsin Supreme Court
DecidedJanuary 15, 1872
StatusPublished
Cited by22 cases

This text of 30 Wis. 81 (Morrow v. Reed) is published on Counsel Stack Legal Research, covering Wisconsin Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Morrow v. Reed, 30 Wis. 81 (Wis. 1872).

Opinion

Cole, J.

A number of objections have been taken to tbe validity of tbe chattel mortgages upon which tbe plaintiff claimed to bold tbe logs in controversy. It is said that they do not contain a sufficient description of tbe mortgaged property to enable a third person to identify it; that they refer in part to after acquired property: that a portion of tbe logs embraced [84]*84in the mortgages were marked logs, and therefore the law required the mortgages to be recorded in the office of the inspector of lumber for the district; and that the mortgages were never properly filed in the office of the town clerk, consequently that the instruments were void. It may be conceded, for the purposes of this case, that these various objections to the validity of the chattel mortgages would be well taken had there not been a delivery of the logs upon the mortgages. The plaintiff's claim is, that on or about the 27th of March, 1869, he and Daniel McDonald, one of the mortgagors, went along down the east shore of Green Bay, where the logs were then lying, and that McDonald then pointed out and delivered the logs upon the mortgages. If this was done as claimed, it would cure any defect in the mortgages on account of any imperfect description of the logs, or in respect to after acquired prcperty ; and would obviate the objection that the mortgages were not properly recorded and filed. Eor it would be an appropriation of the specific logs to the mortgages and a designation of the property to which they were to attach. The object of requiring a mortgage of personal property to be filed or recorded is to give creditors and subsequent purchasers notice of its existence when the mortgagor retains possession of the property. If the aotual possession of the property is changed, then the necessity for recording or filing the chattel mortgage fails. And the same may be said in respect to an imperfect or insufficient description of the mortgaged property. If the mortgagee takes possession of the mortgaged property, that is sufficient. That is an identification and appropriation of the specific property to the mortgagees. And, therefore, it seems plain to us that all these objections taken to the validity of the chattel mortgages become entirely immaterial if, in fact, there was a delivery of the logs to the plaintiff under the mortgages, on the 27th of March, as claimed by him.

It is very clear that the jury must have found under the instructions of the court that the logs were actually turned out [85]*85and delivered to tlie plaintiff upon tlie chattel mortgages. Eor the court charged that to render a chattel mortgage valid as to third parties, it must either he filed as the law requires, or the mortgaged property must be delivered to the mortgagee. And further, that if they were satisfied from the evidence that about the 27th of March the plaintiff and McDonald went down to Whitney’s Bluff and along the east shore of the bay where the logs then were, and that McDonald delivered the logs on the mortgages as testified to by the witnesses, that then the plaintiff’s title to the property would be complete as against the defendants, and that he would be entitled to recover its value if the defendants had converted them as alleged, unless there had been a previous sale and delivery to the Howard Mill Company. Also, that if the logs did not become the property of the Mill Company prior to the alleged delivery to Morrow, or the filing of the chattel mortgages, that then the plaintiff was entitled to the possession of such of the logs as were mortgaged and delivered to him, so long as anything remained due and .unpaid on them. And the court was still more specific as to what would amount to a good delivery by telling the jury in effect that it must be such as to vest the property in the plaintiff, so that he had the right to control it from that time, and if the logs were lost or destroyed the loss would fall upon the plaintiff; and that if there were a greater number of logs on the bank than called for by the mortgages, that the mortgages would not attach to any particular portion unless such portion was set apart and designated from the remainder, or unless there was an actual delivery of the whole quantity, with the right on the part of the plaintiff to select from the larger quantity such portion as he might be entitled to under the mortgages. We have not given the precise language of the charge, but this is its scope and effect upon the question of delivery to the plaintiff. And we can see no error in these instructions, and we think they correctly state the law applicable to the facts which the evidence tended to establish. And it is manifest we [86]*86think that upon the whole charge and instructions as given, the jury must have found that the property in controversy in this suit was actually delivered to the plaintiff upon his mortgages about the 27th day of March as claimed by him. This being the case, as already observed, all questions as to the validity of those instruments are necessarily out of the discussion. And this brings us to the inquiry next to be considered, namely, whether the jury were properly instructed upon the question whether the logs had been previously sold and delivered to the Howard Mill Company prior to their being delivered to the plaintiff. It appeared by the evidence that a written contract was entered into between the company and the McDonalds on the 26th of December, 1868, by which the latter agreed to furnish and deliver to the company at its boom at Fort Howard, pine logs of a designated kind and amount by the 15 th of June next following, the logs to be scaled in the water when delivered. It was claimed that there' had been a parol modification of this written contract, by which it was agreed that the logs should become the property of the Mill Company when placed or delivered by the McDonalds on the shore of Green Bay. It was by no means a conceded fact that such a parol agreement had been made, in and by which the logs were to become the property of the Howard Mill Company as fast as they were cut and placed upon the shore, without anything further being done to pass the title. There was a conflict in the evidence upon that point. But the court charged the jury in an instruction asked on the part of the defendants, that if the agreements between the McDonalds and the Howard Mill Company were su<?h as to satisfy them, that the McDonalds intended that the logs in question should become the logs of that company when they were put on the bank or shore of Green Bay at Whitney’s Bluff; the property in the logs would pass to and become vested in the company, which would have the right to take them away whenever it chose to do so. And the same proposition substantially was given in another place in the general charge, where [87]*87the jury were told that if there was no greater quantity of logs pnt on the shore by the McDonalds than the Howard Mill Company were to have under their contract, then they were to inquire whether the delivery of the logs on the bank was intended by the parties to be a delivery to the company; whether the right of the McDonalds to the logs was to cease from that moment, and the right of the company attach; and which party had the right to control the logs from that time, or would sustain the loss if they were destroyed or lost.

"We see no objection to this charge. Whether or not the sale was complete and the title passed from the McDonalds to the Mill Company, was made to turn upon the intention of the parties and the real conditions of the contract.

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Bluebook (online)
30 Wis. 81, Counsel Stack Legal Research, https://law.counselstack.com/opinion/morrow-v-reed-wis-1872.