Schaeffer v. Casey
Schaeffer v. Casey
Opinion of the Court
This is an appeal from an order of the District Court in bankruptcy approving an order of the referee which sustained the validity of a chattel mortgage. The jurisdiction of the court was invoked by a petition by the trustee to have the mortgage declared null and void, and also by the mortgagee’s petition in reclamation for the mortgaged property. The validity of the chattel mortgage was attacked by the trustee on the ground that it did not sufficiently describe the indebtedness secured thereby as required by sections 2956 and 2957 of the Civil Code of California
The appellant also relies upon the fact that the original note was payable in lawful money of the United States, and that the purported copy thereof in the mortgage was payable in gold coin. This discrepancy was not called to the attention of the District Judge by the assignments of error in the petition for review, and for that reason need not be considered by us. 8 Rem. on Bankruptcy, §§ 3671,'3863. The decision of the Supreme Court of California in Kahriman v. Jones, 203 Cal. 254, 263- P. 537, supra, does not sustain appellant’s position. The description of the mortgage indebtedness contained in the recorded chattel mortgage sufficiently complied with the provisions of the California Civil Code..
Order affirmed.
Cal. Civ. Code, § 2956: “Form of personal property mortgage. A mortgage of personal property may be made in substantially tlie following form:
“This mortgage, made the -...........- day of —--, in the year -, by A. B., of --, by occupation a- — , mortgagor, to-C. D., of-, by occupation a-, mortgagee, witnesseth:
“That the mortgagor mortgages to the mortgagee [here -describe the property], as security for the payment to him of -- dollars, on [or before] the - day of-•, in the year-with interest thereon [or, as security for the payment of a note or obligation, describing it, etc.] A. B.
“§ 2957. When void as to third persons. A mortgage of personal property is void as against creditors of the mortgagor and subsequent purchasers and encumbrancers of the property in good faith and for value, unless:
“1. It is accompanied by the affidavit of all the parties thereto that it is made in-good faith and without any design to hinder, delay, or defraud creditors;
“2. It is acknowledged or proved, certified, and recorded in like manner as grants-of real property.”
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