§ 44-5-2 — Voluntary restoration of property to owner by lien holder--Extinguishment of lien--Exception.

The voluntary restoration of property to its owner by the holder of a lien thereon dependent upon possession extinguishes the lien as to such property unless otherwise agreed by the parties and extinguishes it, notwithstanding any such agreement, as to creditors of the owner and persons subsequently acquiring title to the property, or a lien thereon, in good faith and for a good consideration.

Legislative History

CivC 1877, § 1721; CL 1887, § 4345; RCivC 1903, § 2041; RC 1919, § 1546; SDC 1939, § 39.0123.