Rivard v. Loudon

50 P.2d 1151, 184 Wash. 234, 1935 Wash. LEXIS 890
CourtWashington Supreme Court
DecidedOctober 29, 1935
DocketNo. 25861. Department Two.
StatusPublished
Cited by3 cases

This text of 50 P.2d 1151 (Rivard v. Loudon) is published on Counsel Stack Legal Research, covering Washington Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rivard v. Loudon, 50 P.2d 1151, 184 Wash. 234, 1935 Wash. LEXIS 890 (Wash. 1935).

Opinion

Beals, J.

During the month of April, 1926, Yakima City Creamery, Inc., a corporation, being the owner of a tract of land approximately seventy acres in extent, *235 situated in Yakima county, agreed by a written execu-tory contract to sell the land to one Morford for a consideration of ten thousand dollars, payable over a period of years. Four years later, Mr. Morford entered into a contract with Oscar Lenseigne, whereby the latter agreed to purchase the land for eleven thousand dollars. During the month of February, 1932, Lenseigne was in default in his payments under this contract, and as the result of this default, Morford was lagging in his payments to his vendor. Shortly thereafter, William Rivard, the plaintiff or claimant herein, purchased Mr. Morford’s equity in the land and loaned Lenseigne five hundred dollars, for which he received the latter’s note.

Prior to the time Mr. Lenseigne succeeded to Mr. Morford’s rights in the property, no hops had been grown thereon. Believing that such a crop would be profitable, Mr. Lenseigne planted hops on twenty acres of the land, entering into a contract with Lloyd L. Hughes, Inc., a corporation, for the sale of the hops to be grown on that particular twenty acres for the years 1933 to 1936, inclusive.

Desiring to plant an additional ten acres in hops, Lenseigne entered into an agreement with Rivard, whereby the latter advanced money to the former and agreed to purchase, at twenty cents per pound, twenty thousand pounds of hops to be grown on the ten acre tract. The agreement was to cover a five year period, and the purchase price of the hops was to be applied first in settlement of advances made by Rivard, the balance to be credited by the latter upon the land contract. During the first year (1933), only seven bales of hops were produced upon the ten acre tract, this quantity being insufficient to repay the $435 which Rivard had advanced. During the following year, Rivard advanced $1,300 in cash and a sum in excess *236 of $1,100 for material and by way of a guarantee of a bill for lumber used in tbe construction of a hop kiln. No portion of these advances was repaid.

Lenseigne, desiring to plant additional land to hops, was advised by Mr. Lloyd Hughes that Mr. James Loudon might be interested in financing the crop. Under date March 21, 1934, Lenseigne and Loudon entered into an agreement, according to the terms of which the latter agreed to advance money and to accept as security therefor a chattel mortgage upon the crops to be produced upon a seven acre tract, and also upon the product of the ten acre tract “under contract to William Rivard;” the parties agreeing that the Loudon security was subject to the chattel mortgages and contracts held by William Rivard and Lloyd M. Hughes, Inc. Messrs. Lenseigne and Loudon agreed that they were to share the profits in the hops grown on the seven acre tract, twelve cents a pound being agreed upon as the cost of production and baling.

During the year 1934, the ten acre tract covered by the agreement with Rivard produced ninety-five bales of hops, the seven acre tract producing a quantity insufficient to reimburse Mr. Loudon for his advances, which had been secured by chattel mortgages, one upon the crops to be grown upon the seven acre tract, the other upon the “entire crop over L. L. Hughes Inc., contract of 30,000 lbs. and Wm. Rivard’s contract of 20,000 lbs.”

James Loudon, not receiving the moneys due him, commenced an action against Lenseigne, causing a writ of- attachment to be issued and levied upon the ninety-five bales of hops which had been produced on the ten acres referred to as the tract covered by the Rivard contract, these hops being still in Mr. Len-seigne ’s warehouse on the property. William Rivard thereupon filed, by way of affidavit, his third party *237 claim to the ninety-five bales of hops and took possession of the property under a claim bond. The matter proceeded to trial without pleadings other than the affidavit filed on behalf of Mr. Rivard, and the trial court, after a hearing, entered findings of fact and conclusions of law in Mr. Loudon’s favor and awarded him judgment against Mr. Rivard for $2,700 and against the latter’s surety up to the amount of its bond, the judgment further providing that, except as to costs, the same would be satisfied by re-delivery of the attached property.

From this judgment, William Rivard and his surety have appealed, assigning as error the entry of the judgment against them and the failure of the trial court to enter judgment in Mr. Rivard’s favor.

The assignments of error may be discussed together. It may be assumed, as argued by appellant, that it appears from the evidence that it was agreed between appellant and Lenseigne that the hops to be grown on the ten acre tract up to the amount of twenty thousand pounds per annum would be sold to appellant at twenty cents per pound, and that, pursuant to such agreement, appellant advanced money, a considerable amount of which was paid out for picking the 1934 crop; that the crop harvested from the ten acre tract was kept separate from hops grown on the rest of the land and was baled and stored separately from the rest of the crop. It may also be assumed that these hops were insured for the benefit of Len-seigne and of appellant “as his interest may appear.”

Appellant submits authorities to the effect that an attaching creditor can acquire no better title than that of the debtor at the date of the levy; that such a creditor is not a bona fide purchaser; and that, in such a proceeding as this, the third party claimant is* required to prove only an ownership or right of *238 possession superior to.that of the attaching creditor. In so far as applicable to the situation here presented, these propositions may be assumed as correct. The question, then, is whether or not, at the time of the levy under respondent Loudon’s writ of attachment, Lenseigne’s title to the hops was superior to that of appellant.

It appears that Lenseigne, prior to this levy, had sold certain hops which were subject to a mortgage in respondent’s favor, and that for this reason respondent had lost confidence in Lenseigne and brought suit against him.

While respondent undoubtedly knew that there was an agreement between Lenseigne and appellant concerning the hops grown on a portion of the land, it is admitted that there was no contract in writing between the parties, and that the ninety-five bales of hops were still stored in the warehouse located on the property and were marked with Lenseigne’s initials. Appellant argues that his contract with Lenseigne had been carried out in all of its terms, with the exception of the making of physical delivery of the hops; contending that such delivery was unnecessary because the parties interested had recognized the existence of the contract, and that the hops were, in fact, appropriated to the contract by Lenseigne and specifically set aside for that purpose.

Respondent argues that the contract between appellant and Lenseigne was, as to him, void under the statute of frauds, as contained in the uniform sales act.

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Related

St. Paul & Tacoma Lumber Co. v. Fox
173 P.2d 194 (Washington Supreme Court, 1946)
Sweeny v. Sweeny Investment Co.
90 P.2d 716 (Washington Supreme Court, 1939)
Lloyd L. Hughes, Inc. v. Widders
60 P.2d 243 (Washington Supreme Court, 1936)

Cite This Page — Counsel Stack

Bluebook (online)
50 P.2d 1151, 184 Wash. 234, 1935 Wash. LEXIS 890, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rivard-v-loudon-wash-1935.