Merchants' & Farmers' Bank v. Schaaf

Citations

• 108 Miss. 121
• 66 So. 402

Syllabus

<p>1. Sales. Conditional sales. Rights of creditors.' “Trader.”</p> <p>Claimant shipped pianos, organs, and other musical instruments to M. under an unrecorded contract, providing that M. should hold them on consignment for claimant’s benefit, should insure them, pay all taxes and remit all cash collected. Notes were received on sales or leases, to claimant until settlement was made for the property so shipped, and M. gave a receipt for each instrument agreeing to hold it, and the proceeds of any sale or lease, for the claimant, and to return the instrument on request. M. opened a place of business in his own name, displayed the instruments, with tags attached, indicating that they were for sale, insured the instruments as if owned by him, and had full control of the business. There was no sign át his place of business disclosing the name of the owners of the stock and nothing to indicate that he did not own it and have a right to sell it. In such case he was transacting business in his own name as a trader or otherwise, and the instruments were property acquired and used in the business he was conducting, within the provisions of section 4784, Code 1906, providing, that if a person shall transact business as a trader or otherwise, with the addition of the words “agent, factor,” etc., and shall fail to disclose the name of his principal or partner by a sign placed conspicuously, or if any person shall transact business in his own name without any such addition, all property, stock, etc., used or acquired in such business, shall be liable for his debts, and treated in favor of his creditors as his property; hence such instruments were liable for M’s debts.</p> <p>2. Trader. Definition.</p> <p>A “trader” is one who is engaged in trade or commerce; one who makes it a business to buy, sell, or exchange goods; one who has transactions as a dealer in bartering and trafficking.</p>