Missouri Finance Corp. v. McCowan

Citations

• 108 Kan. 622
• 196 P. 614
• 1921 Kan. LEXIS 237

Syllabus

<p>SYLLABUS BY THE COURT.</p> <p>Replevin — Automobiles—Bailee Held out as Apparent Owner of Cars■ — ■ Innocent Ptvrchasers — Judgment on Opening Statement of Plaintiff’s Counsel A man of small means procured an agency for the sale of automobiles from the distributor at Kansas City, Mo., and opened a garage and salesroom at Independence, Kan. By an arrangement between the distributor, the plaintiff, and the dealer, the latter obtained possession of automobiles in this way: The distributor shipped automobiles to- Independence, on bill of lading to its own order, notify dealer, and advised the plaintiff. The distributor sent the bill of lading, with draft for price attached, to a bank in Independence. The plaintiff mailed to the bank a draft to take up the distributor’s draft and bill of lading, and to pay freight and other charges. The -plaintiff also instructed the bank to deliver the automobiles to the dealer, on his signing a storage receipt acknowledging title in the plaintiff and agreeing to deliver to no one except plaintiff or its order. The dealer reimbursed the plaintiff for freight and other charges, paid fifteen per cent of the distributor’s price, and was given a written option to purchase. The storage receipt and option to purchase were not recorded. Without exercising his option to purchase, the dealer sold and delivered to innocent purchasers automobiles the possession of which he obtained by virtue of the scheme here outlined, and stated in detail in the opening statement of the plaintiff to the jury. Held, the plaintiff is not entitled to replevin the automobiles from the purchasers.</p>