Werner v. Utah Cooperative Ass'n
Werner v. Utah Cooperative Ass'n
Opinion of the Court
OPINION
By the Court,
This appeal proposes to nullify a judgment for money in favor of certain creditors [Utah Cooperative Association,
In 1962 Valley View sold to Werner & Hoopes a service station in Las Vegas together with equipment, goods, wares, fixtures and an assignment of all leases, subleases and produce purchase agreements. The purchase price was $76,000 less any indebtedness required to be paid at the time of sale. Werner & Hoopes failed to demand and receive from Valley View a verified written statement listing the names and addresses of all creditors of Valley View (NRS 98.020), failed to give notice of the proposed sale (NRS 98.030), and failed to see that the purchase money was applied to the payment of bona fide claims (NRS 98.030). In these circumstances the act provides that the vendee “shall be deemed to assume the liability of the vendor in an amount equal to the market value of the goods and property purchased.”
The broad language of NRS 98.010(2): “whenever an interest in or to the business or trade of the vendor is sold or conveyed. . . .” embraces the instant sale. Since the main purpose of the Bulk Sales Law is to protect creditors of bulk sales vendors and to prevent transfers which are fraudulent as to them [Escalle v. Mark, 43 Nev. 172, 183 P. 387 (1919)] we do not hesitate to affirm the district court judgment.
Reference
- Full Case Name
- WILLIAM WERNER and J. GORDON HOOPES, Individually and dba WERNER & HOOPES, a Partnership v. UTAH COOPERATIVE ASSOCIATION, a Utah Corporation and GOULD-NATIONAL BATTERIES, INC., a Delaware Corporation and UNITED STATES RUBBER COMPANY, a Corporation
- Status
- Published