Williams v. Mellor

12 Colo. 1
CourtSupreme Court of Colorado
DecidedOctober 15, 1888
StatusPublished
Cited by15 cases

This text of 12 Colo. 1 (Williams v. Mellor) is published on Counsel Stack Legal Research, covering Supreme Court of Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Williams v. Mellor, 12 Colo. 1 (Colo. 1888).

Opinion

Mr. Justice Gerry

delivered the opinion of the court.

This is an action of replevin brought in the district court of Gilpin county, the defendants in error being the plaintiffs in the court below. On the 21st day of June, 1884, an execution issued out of the county court of Gil-pin county upon a judgment rendered in said court in favor of Morris Thomas and against one Samuel Walter. The writ was delivered to the sheriff at 2 o’clock P. M. of said 21st day of June. On the same day, at 4:15 o’clock P. M., was filed for record a chattel mortgage, dated June 21,1884, from said Samuel Walter to defendants in error, thereby conveying to them certain goods and chattels then in possession' of said Walter, and specifically described in said mortgage, to secure the payment of a certain promissory note in the sum of $500, made and delivered by said Walter to defendants in error, and payable to their order six months after date.

Defendants in error took possession of the goods described in said mortgage, in pursuance of the terms thereof, June 26, 1884, and advertised the same goods for sale on the 11th day of July, 1884. On the said 11th day of July the plaintiff in error, the then sheriff of said' county, levied said execution upon said goods and chattels as the property of said Samuel Walter; and on the same day, under the writ of replevin in this case, the defendants in error took the said goods and chattels from the possession of the sheriff, and proceeded with the sale under the said mortgage.

The complaint in this case contains the usual allegations provided for by the code in actions of replevin. [3]*3The defendant in his answer admits demand; denies that the plaintiffs were entitled to the chattels in controversy; and justifies as sheriff under the said writ of execution. For a further answer he alleged that the said chattel mortgage was fraudulent and void as against creditors, for the reason that said mortgage was made upon a stock of wares and merchandise belonging to the mortgagor, and which he was permitted to retain in his possession, and dispose of in the usual course of trade and business, in like manner as before the execution of said mortgage; and that said mortgage, by its terms, embraced all accessions and additions that might from time to time be made to said stock.

The plaintiffs, in their replication, inter alia, deny defendant’s right to the possession of the goods and chattels under his levy and by virtue of the execution issued in favor of Morris Thomas and against the goods and chattels of Samuel Walter; deny, upon information and belief, that defendant had a valid execution, or that he took possession lawfully of said goods and chattels; allege that Samuel Walter, on the 20th day of December, 1883, gave his promissory note to Hanington and Mellor for $650, payable six months after date, with interest at one and one-half per cent, per month, and secured said note by giving a chattel mortgage of same date upon the said stock of goods, together with all additions that might be made thereto by the mortgagor; that Hanington and Mellor transferred said note and mortgage to the plaintiffs; that on the 21st day of June, 1884, Samuel Walter gave plaintiffs a renewal note for the unpaid balance due on the note of December, 1883, in the sum of $500, payable six months after date, and secured the same by giving another chattel mortgage in lieu of the mortgage of December 20th on his said stock of goods, together with all accessions that might be made thereto by said mortgagor, and that said mortgage was filed for record in the recorder’s office of Gilpin county at 4:15 o’clock [4]*4P. M., June 21, 1884; deny that said mortgage was fraudulent, and that said Walter was allowed to retail the goods mortgaged; and allege, upon information and belief, that the defendant was instructed by the said Morris Thomas, the judgment creditor, not to levy the said execution until July 10, 1884; and that by reason thereof the said execution became dormant and void as against these plaintiffs.

On the trial of this cause in the court below a verdict was found by the jury in favor of the plaintiffs, and judgment was rendered thereon. Numerous errors are assigned in this case, the first being that the court erred in giving instructions Nos. 1 and 2 in behalf of the plaintiffs. The said instructions are in the following language: “The court instructs the jury that the only proper office of an execution is to enforce the collection of a debt, not to create a security. If you find from the evidence that the execution held by the defendant Williams, as sheriff, against the property of Samuel Walter, was not levied upon the property of said Walter as soon after it came to his hands as could reasonably have been done under the circumstances, as shown by the evidence, and that the same was not levied by reason of any understanding, express or implied, with Morris Thomas, the plaintiff in the execution, or his attorney, or if the same was not levied by direction of said Thomas or his attorney before possession of property was taken by plaintiffs, then your verdict should be for plaintiffs; unless you find that said mortgage mentioned in these instructions was given and received with the intent to defraud the creditors of said Walter.”

“If you find from the evidence there was a direction or instruction by Morris Thomas or his attorney to defendant not to levy the execution in the suit of Morris Thomas against Samuel Walter until further orders or direction, then such execution had no force or effect to create a lien on the property of said Walter while it was [5]*5so held under such direction or instruction. Such direction or instruction need not be proved by direct or positive words. You can consider all the circumstances and acts of the parties relating thereto, as shown by the testimony, and, if satisfied therefrom that there were such directions or instructions or understanding between the parties, then such execution created no lien whatever on the property of Walter (from the time of such direction, instruction or understanding).”

We are of the opinion that these instructions, which under some circumstances may be a correct exposition of the law, yet in this case were liable to mislead the jury. The validity of the judgment, and the execution issued thereon, is not called in question in the argument, and it is but fair to assume that the same are regular. The execution came into the hands of the officer, Williams, on the 21st day of June, 1884, at 2 o’clock P. M. of said day. On the same day, at 4:15 o’clock, the chattel mortgage in question was filed for record. It appears from the record that prior to the 21st day of June, 1884, other mortgages had been executed and delivered by the said Walter to the firm of Hanington & Mellor, and that the note which the said last-named chattel mortgage was given to secure was assigned by said firm to J. Mellor & Oo., the defendants in error; that on or before the 21st day of June, 1884, Walter paid the interest and $150 on the principal of said note, and then executed and delivered the note and chattel mortgage in controversy in this case.

The past transactions between these parties are immaterial in this connection. The bona fides of the debt, as between the parties, is not called in question. Neither, is there any question that Walter intended to give, and the defendants in error intended to take, security for their debt on the property described in the complaint. It is not the existence of the debt and the bona fides

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Bluebook (online)
12 Colo. 1, Counsel Stack Legal Research, https://law.counselstack.com/opinion/williams-v-mellor-colo-1888.