Rowe v. Spencer

79 S.E. 144, 140 Ga. 540, 1913 Ga. LEXIS 178
CourtSupreme Court of Georgia
DecidedAugust 14, 1913
StatusPublished
Cited by9 cases

This text of 79 S.E. 144 (Rowe v. Spencer) is published on Counsel Stack Legal Research, covering Supreme Court of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rowe v. Spencer, 79 S.E. 144, 140 Ga. 540, 1913 Ga. LEXIS 178 (Ga. 1913).

Opinions

Fish, C. J.

(After stating the foregoing facts.) “Whenever personal property is sold and delivered with 'the condition affixed to [543]*543the sale that the title thereto is to remain in the vendor of such personal property until the purchase-price thereof shall have been paid, every such conditional sale, in order for the reservation of title to be valid as against third parties, shall be evidenced in writing, and not otherwise. And the written contract of every such conditional sale shall be executed and attested in the same manner as mortgages on personal property; as between the parties themselves, the contract as made by them shall be valid and may be enforced, whether evidenced in writing or not.” Civil Code, § 3318. Conditional bills of sale must be recorded within thirty days from their date, and in other respects shall be governed by the laws relating to the registration of mortgages.” Ib. § 3319. Mortgages on personal property must be executed in the presence of, and attested by, or proved before, a notary public or judge of any court in this State, or a clerk of the superior court, and recorded. Ib. § 3257. A mortgage on personalty must be recorded in the county where the mortgagor resided at the time of its execution, if a resident of this State. Ib. § 3259. According to the undisputed evidence, all the requirements of the above-quoted sections of the code were complied with, relatively to the notes given by Humphrey to the plaintiff for the balance of the purchase-price of the mules bought by Humphrey from the plaintiff, there being in the notes a condition that the title to the mules should remain in the plaintiff until the notes should be fully paid. The notes were, of course, in writing; they were executed in the presence of and attested by a notary public, and were recorded within less than thirty days from the date of their execution. There was, moreover, ample, evidence to sustain a finding that the notes were recorded in the county where Humphrey resided at the time of their execution, which the jury necessarily found to be true in rendering a verdict for the plaintiff, — the court having properly instructed them on this point. There were some circumstances testified to by the defendant himself, which seemingly might have authorized the jury to find that at the t-ime he traded for the mules he had notice sufficient to ■excite attention, and to put him on inquiry as to Humphrey’s title to them, or 'as to who had. legal title, and that such inquiry would probably have developed the fact that the title was in the plaintiff; but in the view we take of the case, we have not deemed it necessary to set forth such'circumstances. Aside from the matter just re[544]*544ferred to, and considering the evidence from the viewpoint-unost favorable to the defendant, how stands the case? This way: — Defendant traded with Humphrey for the mules on the same day the latter contracted to purchase them from the plaintiff, and within a few hours after that transaction. At the time of his trade with Humphrey, the defendant had no notice of the plaintiff’s title to the mules, and the property given by defendant in exchange for them amounted to a fair price. The agreement between the plaintiff and Humphrey, or rather so much thereof as remained to be executed, had been reduced to writing — in the form of the two notes, — which written agreement Humphrey had in his possession at the time he traded the mules to the defendant, which possession was for the purpose — and in pursuance of the agreement with the plaintiff — of executing them before an officer, and thereafter returning them by mail to the plaintiff. At the same time Humphrey had possession of the mules also with the consent of the plaintiff, as Humphrey was taking the notes for the balance of the purchase-price to Gwinnett county to be properly executed by him and his father as surety, and to be returned to the plaintiff. The notes were duly executed by Humphrey alone, early the next morning after the trade between defendant and Humphrey, and were received that same day by the plaintiff, and were recorded within less than thirty days after their execution. Taking all this to be true, did the defendant obtain a valid title to' the mules, or one superior to that of the plaintiff? The view of the case just presented does not show a case where a vendor sold and delivered personalty under an agreement, entered into at the time of the sale and delivery of the property, that the vendee would, at a time subsequent to the completion of the sale, execute and deliver to the vendor a note for the purchase-price of the personalty, with a condition that the title to the personalty should remain in the vendor until the note should be paid. In section 3318 of the Civil Code, where personalty is sold and delivered with a condition affixed to the sale that the title to the property is to remain in the vendor until the purchase-price thereof shall have been paid, in order for the reservation of title to be valid against third parties it must be m writing and the contract executed and attested as the statute requires in cases of chattel mortgages, and recorded within thirty days after the date of the sale. This statute contemplates a sale [545]*545and delivery of the property in pursuance thereof. The general rule is: “Where the buyer is by the contract bound to do anything as a condition, either precedent or concurrent, on which the .passing of the property depends, the property will not pass until the condition be fulfilled, even though the goods may have been actually1 delivered into the possession of the buyer.” 1 Benjamin on Sales (6th Am. ed.), § 366, p. 359. This principle‘has been recognized by this court in several cases, wherein it was announced that “If personal chattels be sold upon the express condition that they are to be paid for on delivery, and they are delivered upon the faith that the condition will be immediately performed, and perform’anee is refused upon demand in a reasonable time, no title passes to the buyer.” Bergan v. Magnus, 98 Ga. 514, 516 (25 S. E. 570); Wilson v. Comer, 125 Ga. 500 (54 S. E. 355, 114 Am. St. R. 245); Susong v. McKenna, 126 Ga. 433 (55 S. E. 236); Starnes v. Roberts, 128 Ga. 718 (58 S. E. 348); Walker v. O’Neill Mfg. Co., 128 Ga. 831 (58 S. E. 475). In these cases, however, the action was by the vendor against the vendee, and the interest of a third person was not involved, except in Bergan v. Magnus, where the contest was between the vendor and an attaching creditor of the vendee, it not appearing, however, that the vendee had obtained possession of the goods with the consent of the vendor; and in Walker v. O’Neill Mfg. Co., where the contest was between two parties, each claiming to have purchased the article in controversy from the same vendor. In Wheeler & Wilson Mfg. Co. v. Bank, 105 Ga. 57 (31 S. E. 48), it was held: “Where a purchaser agrees to pay for goods on delivery, either in cash at 'a named discount or by note due in six months, the contract of sale is conditional, and the payment of the cash or the giving of the note is a condition precedent to the passing of title.

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Cite This Page — Counsel Stack

Bluebook (online)
79 S.E. 144, 140 Ga. 540, 1913 Ga. LEXIS 178, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rowe-v-spencer-ga-1913.