White's Bank v. Robert Smith

37 How. Pr. 168
CourtSupreme Court of the United States
DecidedDecember 15, 1868
StatusPublished

This text of 37 How. Pr. 168 (White's Bank v. Robert Smith) is published on Counsel Stack Legal Research, covering Supreme Court of the United States primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
White's Bank v. Robert Smith, 37 How. Pr. 168 (U.S. 1868).

Opinion

Mr. Justice Nelson delivered the opinion of the court.

This is an appeal from the circuit court of the United States for the northern district of New York.

The controversy in this case, arises out of the conflicting claims of two mortgagees to the proceeds of the Robert Emmett. One of the mortgages is executed by Gabriel Hoyt, owner of the vessel, to White’s Bank, of Buffalo, on the 22d of May, 1863, for $4,000; the other by Henry Zahn, the then owner, to Robert Smith, on the 5th of June, 1865, for $0,000.

[169]*169The. mortgage to White’s Bank, was recorded the 12th of June, 1863, in the collector’s office at Buffalo, where the Emmett was duly enrolled, and at which place the owner presided. The mortgage to Smith was recorded in .the collector’s office at the port of Sandusky, Ohio, on the 17th of June, 1865, where the Emmett was also duly enrolled, and at which place the owner, Zahn, then resided.

The mortgage to White’s Bank, was filed in the office of the clerk of the county of Erie, on the 5th day of June, 1863, according to the requirement of Hew York law, in respect to personal mortgages $ but it was not re-filed at the end of a year as required by that law in order to perpetuate the lien.

The Emmett was libeled for seamen’s wages on the 29th oí August, 1865, which was a paramount lien on the vessel, and was sold under a decree in' that suit. The remnants remaining in the registry of the dictrict court after satisfying this demand, constitute the subject of contest between the present parties. The last mortgagee, Robert Smith, claims that the lien of the mortgage to White’s Bank was lost, on account of the omission to re-file it in the clerk’s office of Erie county, at the end of the year, and which raises the material question in the case, namely: whether or not the recording of the mortgage in the collector’s office at Buffalo had the effect, by its own force, and irrespective of the filing in the clerk’s office, to give a preference to it, over any subsequent purchaser or mortgagee I The act of Congress, July 29, 1850, on this subject, is as follows:

That no bill of sale, mortgage, hypothecation, or conveyance of any vessel, or part of any vessel of the United States, shall be valid against any person other than the • grantor or mortgagor, his heirs and devisees, and persons having actual notice thereof, unless such bill of sale, mortgage, hypothecation, or conveyance be recorded in the office of the collector of customs where such vessel is registered or enrolled.”

[170]*170The next section provides for recording these bills of sale, &c., and also certificates of discharge and cancellation in a proper book. No provision was made for any authentication of these instruments preparatory to their being recorded. They were received by the collector from the parties delivering them, and were recorded with no proof of their verity, except from the execution of the same, as appeared on their face; and this, both as it respects the bills of sale, mortgages, &c.; and the discharge and cancellation of the same. And the law thus stood for some fifteen years. On March 3, 1865, it was enacted that “ no bill of sale, mortgage, hypothecation, conveyance, or discharge of mortgage, or other incumbrances of any vessel, shall be recorded unless' the same is duly acknowledged before a notary public, or other officer authorized to take acknowledgement of deeds.”

Previous to this act of 1850, providing for the recording of bills of sale, mortgages, &c., of vessels, they were required to be filed by the laws of many of the states in the clerk’s office, or some place of public deposit in the town or city where the vendor or morgagor resided, in order to protect the interest of the vendee or mortgagee against subsequent bona fide purchasers or mortgagees. And this practice continued in many places after the passage of the act of 1850, for abundant caution, on account of a doubt as to the effect that would or might be given to it as a recording act from the very imperfect provisions of the law. There can be no doubt, however, but that the system of recording these instruments in the collector’s office at the home port of the vessel furnishes a much readier opportunity to persons dealing in this species of property to obtain a knowledge of the condition of the title, than by the former mode under.the state law. We say the home port, because it is quite apparent from the language of the act, “be recorded in the office of the collector of customs where such vessel is registered or enrolled,” means the permanent registry or enrollment which is at the port, “at or nearest to which the [171]*171owner, if there be but one, or if more than one, the .husband, or acting and managing owner of said ship or vessel usually resides. And the name of the' said ship or vessel, and the port to which she shall so belong, shall be painted on her stern on a black ground in white letters of not less than three inches in length,” and, if found without such, name and the name of the port, the owner is subject to a penalty of fifty dollars. (Act 31st December, 1792, § 3.)

The same act provides for a temporary registry when the owner acquires her in a different district from that in which he resides; but this is to enable him to bring the vessel within the home district, or port, where she can obtain her permanent registry. The character of this temporary registry is expressed on the face of it, and is delivered up to the collector on the issuing of the permanent registry, whose duty it is, to return it to the collector that granted it—(Id., §11.)

So a registered vessel may be enrolled, or an enrolled vessel registered, on the master giving up to the collector the registry or enrollment, as the case may be; and if such vessel shall be in any other district than the one to which she belongs, the collector of such district upon the master taking an oath, that according to his best knowledge and belief, the property remains as expressed in a registry or enrollment proposed to be given up, and on giving the bond required, shall make the exchange above mentioned; but the collector to whom the registry or enrollment is given up shall transmit the same to the register of the treasury, and the registry or enrollment granted in lieu thereof, shall within ten days after the arrival of such vessel within the district to which she belongs, be delivered to the collector of said district, and be by him cancelled.—(1 U. S. St., p. 140. § 3.)

This exchange of registry or enrollment, may occur in any part of a voyage or voyages, and the temporary registry or enrollment, continues till the vessel in the regular [172]*172course of her employment, arrives at the port to which she belongs, where she may again obtain a renewal of her permanent documentary title. As we have- said, we think it apparent that the collector’s office in the district in which this temporary registry or enrollment is made, is not the office contemplated by the act of 1850. The temporary papers are made in the office where the vessel happens to be at the time of the sale or exchange of the documentary title, and continues only till her arrival at the port to which ' she belongs.

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Cite This Page — Counsel Stack

Bluebook (online)
37 How. Pr. 168, Counsel Stack Legal Research, https://law.counselstack.com/opinion/whites-bank-v-robert-smith-scotus-1868.