Youngberg v. Walsh

Citations

• 72 Kan. 220
• 83 P. 973
• 1905 Kan. LEXIS 333

Syllabus

<p>SYLLABUS BY THE COURT.</p> <p>1. Chattel Mortgages — Failure to Record — Validity. Under the provisions of section 4244 of the General Statutes of 1901 an unrecorded chattel mortgage or conveyance intended to operate as a mortgage of personal property, where there is no change in the possession of the property, is void as against the creditors of the mortgagor only while withheld from record, and whenever recorded will, from and after that time, be valid.</p> <p>2. - Creditors — Interest in Mortgaged Property. The creditors of the mortgagor mentioned in section 4244 of the General Statutes of 1901 include only those having some specific lien upon, or right to, the mortgaged property, and do not embrace mere general creditors.</p> <p>3. - Priority — Other Security• — Proceeds of Exempt Property. The purchaser of personal property at a mortgagee’s sale under a junior mortgage who buys with actual knowledge of the prior mortgage, which is recorded, and with notice that the seller obtained possession of the property from the prior mortgagee by deceit and afterward forcibly retained such possession, and who pays for the property only the amount secured by the junior mortgage, cannot, in a replevin action brought by the prior mortgagee to recover possession of the goods, avoid a recovery merely by showing that the plaintiff, in addition to his chattel mortgage, was secured by a mortgage on the homestead of the mortgagor, and that during the pendency of the replevin action the homestead had been sold, and the plaintiff might have enforced payment of his whole debt out of the proceeds of the homestead but did not do so, it appearing that the value of the personal property then materially exceeded the amount of both chattel mortgages thereon.</p>