General Motors Acceptance Corp. v. Arthaud Land Co.

Citations

• 118 Wash. 593
• 204 P. 194
• 1922 Wash. LEXIS 698

Syllabus

<p>Sales (179-1) — Conditional Sales — Assignment of Contract — ■ Effect — Rights of Subsequent Mortgagee — Estoppel to Assert Title. Where an automobile dealer sells a car under a conditional sale contract, taking a promissory note for deferred installments of the price, which together with the contract is assigned to another, and, the dealer, as agent of the assignee, subsequently repossesses himself of the car for nonpayment of the balance due and places it among his stock, and mortgages it to a third party, the assignee of the contract cannot replevin the car from the mortgagee; since he brings himself within the rule that where one of two equally innocent persons must suffer, that one whose act or neglect makes a fraudulent act possible must bear the loss occasioned thereby.</p>