Williamson v. Skerritt

378 P.2d 215, 141 Mont. 422, 1963 Mont. LEXIS 149
CourtMontana Supreme Court
DecidedJanuary 29, 1963
DocketNo. 10366
StatusPublished
Cited by3 cases

This text of 378 P.2d 215 (Williamson v. Skerritt) is published on Counsel Stack Legal Research, covering Montana Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Williamson v. Skerritt, 378 P.2d 215, 141 Mont. 422, 1963 Mont. LEXIS 149 (Mo. 1963).

Opinions

MR. JUSTICE DOYLE

delivered the Opinion of the Court.

This is an appeal from a judgment of the district court of the eighteenth judicial district of the State of Montana, in and for the County of Gallatin.

The cause was submitted to the trial judge on an agreed statement of facts on March 31, 1961, and judgment for the plaintiff was dated July 5, 1961. The plaintiff recovered the sum of $543.20 with interest from July 6, 1960. The appellant sheriff of Gallatin County, Donald J. Skerritt, had judgment rendered against him in the sum of $150 for the alleged illegal acts performed by him at the instance and request of the other defendants and appellants.

The factual situation is neither complicated nor of any great length. On January 29, 1960, Capital Motors Inc., of Helena, sold to Fred L. Boone of Helena, a 1955 Mercury Sport Coupe under a retail installment contract whereby Boone specifically agreed that title to the automobile was to remain in the Capital Motors, until all of the amounts due under the installment contract were paid in full. This installment contract provided further that it might be assigned without notice, and that the assignee would succeed to all the rights of the said Capital Motors. Thereafter, the retail installment contract was assigned to the appellant Union Bank and Trust Company in Helena, Montana, who on February 10, 1960, caused the contract and assignment to be filed in the office of the Registrar of Motor Vehicles at Deer Lodge. Title was delivered to the purchaser Fred L. Boone, subject to the security interest of Capital Motors, and the assignee, Union Bank and Trust Company.

On March 24, 1960, the respondent, R. M. Williamson, at the instance and request of Fred L. Boone, took the Mercury [424]*424automobile into his shop at Bozeman, Montana, and performed certain work and furnished materials for its repair, all of this being done without the knowledge or consent of the appellant Union Bank and Trust Company, the conditional vendor. No notice, either oral or in writing, was given to the Bank within ten days after receiving possession of the automobile by the respondent, that the respondent intended to assert a lien thereon for the work and labor and the materials furnished.

On May 11, 1960, the Bank made a demand upon the respondent for the return of the automobile, which demand was refused.

On July 1, 1960, upon the demand of the Bank, Donald J. Skerritt, Sheriff of Gallatin County, Montana, took possession of the automobile and thereafter on July 19, 1960, sold the automobile to the Bank after the Bank had indemnified Sheriff Skerritt, by a written undertaking in the amount of $900.

On September 30, 1960, the respondent commenced this action for the recovery of the $543.20 for work and labor performed and materials furnished on the car, and claimed a lien on the said automobile under the provisions of section 45-1106, R.C.M.1947.

The only question to be decided by this court is whether the vendor of a motor vehicle, under a conditional sales contract which has been filed with the Registrar of Motor Vehicles, and which fact has been endorsed on the certificate of title, as a prior interest in such motor vehicle that is dominant to the lien of a repairman who furnished work, labor and material without notice to the conditional vendor, and which arose subsequent in time, to the filing of the said conditional sales contract.

Respondent relies on the provisions of section 45-1106, R.C.M.1947, which is the statute relating to agisters’ liens and liens for service. The material part of this section is as follows:

“The lien hereby created shall not take precedence over the lien of prior chattel mortgages or other recorded liens on the [425]*425property involved, unless within ten days from, the time of receiving the property, the person desiring to assert a lien thereon shall give notice in writing to said mortgagee or other lien holder, stating his intention to assert a lien on said property, under the terms of this act, and stating the nature and approximate amount of the work, ® * * performed * =:;s * or intended to be performed * * * therefor.”

Respondent contends that the conditional sales contract or retail installment contract filed with the Registrar of Motor Vehicles by the Bank on February 10, 1960, is not a lien. In support of such contention he cites the case of Hougham v. Rowland, 33 Cal.App.2d 11, 90 P.2d 860. In the Hougham case, the appellant was a wholesale used car dealer, and respondent a retail used car dealer, and they entered into an oral conditional sales agreement for the purchase of sixteen vehicles for resale. The matter of concern in that case was the question of a writ of attachment.

The respondent further cites the case of Phelps v. Loupias, 97 Cal.App.2d 350, 217 P.2d 748, a California case involving the conversion of some machinery for a laundry in which the parties entered into a joint adventure agreement. The California court, quoting from the other cases, held that the security retained by the seller is not a lien, but is a reservation of title and that a conditional vendee receives nothing more than a conditional right of possession and that a conditional vendee is in the position of a mere possessor.

These cases are not persuasive here.

In the instant cause, the buyer, without notice to the vendor, incurred a substantial repair and labor bill, which action under the provisions of the conditional sales contract gave the appellant the right to immediate possession of the vehicle.

The Legislature of the State of Montana enacted sections 53-101 to 53-144, R.C.M.1947, which deal solely with the registration of motor vehicles, prescribe the duty of the Registrar, and provide for the payment of fees for certain acts of [426]*426the Registrar. These are the controlling statutes in all cases of motor vehicles in the State of Montana.

It can thus be seen that it was the plain intent of the legislature in sections 53-101 to 53-144, inclusive, to cover all of the facets appertaining to motor vehicles within the State of Montana.

The controlling section regarding the filing of liens, rights, procedure, and fees is section 53-110 and contains eight subdivisions. The four pertinent subdivisions of section 53-110 are (a), (b), (c), and (f), which provide:

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405 P.2d 219 (Montana Supreme Court, 1965)

Cite This Page — Counsel Stack

Bluebook (online)
378 P.2d 215, 141 Mont. 422, 1963 Mont. LEXIS 149, Counsel Stack Legal Research, https://law.counselstack.com/opinion/williamson-v-skerritt-mont-1963.