Commercial Securities Corp. Consolidated v. Babbitt Motor Co., Civil 2867

• Decision Date: 14 April 1930
• Docket Number: Civil 2867
• Citation: 286 P. 820,36 Ariz. 438
• Parties: COMMERCIAL SECURITIES CORPORATION CONSOLIDATED, a Corporation, Appellant, v. BABBITT MOTOR COMPANY, a Corporation, Appellee
• Court: Arizona Supreme Court

286 P. 820

36 Ariz. 438

COMMERCIAL SECURITIES CORPORATION CONSOLIDATED, a Corporation, Appellant, v. BABBITT MOTOR COMPANY, a Corporation, Appellee

Civil No. 2867

Supreme Court of Arizona

April 14, 1930

APPEAL from a judgment of the Superior Court of the County of Maricopa. Dudley W. Windes, Judge. Affirmed.

Mr Frank L. Snell, Jr., and Mr. Leon S. Jacobs, for Appellant.

Mr Herman Lewkowitz and Mr. Henry H. Miller, for Appellee.

OPINION

LOCKWOOD, C. J.

Commercial Securities Corporation Consolidated, a corporation hereinafter called appellant brought suit against Babbitt Motor Company, a corporation, hereinafter called appellee, to recover possession of two automobiles which were alleged to be the property of appellant. Appellee answered, claiming ownership of the cars. The case was tried to a jury, and at the close of the evidence appellant moved for an instructed verdict, which motion was denied by the court. The case was submitted to the jury, which returned a verdict in favor of appellee; and, after the usual motion for a new trial had been overruled, appellant brought the case before us for review.

There are some five assignments of error which raise in effect but one question, which is whether the evidence supports the verdict. In determining this question, we must of course consider the evidence in the strongest possible light in favor of appellee. So considered, the facts are as follows Appellee was engaged in the business of selling Oakland and Pontiac automobiles, with headquarters in the city of Phoenix. One Ferguson was the owner and operator of the Hiway Service Station at Superior, Arizona, and among other things sold both new and used automobiles. He desired to take on a line of new Oakland and Pontiac cars, and made a business arrangement with appellee to secure from it these cars. We shall discuss the nature of this arrangement at more length later on, for upon it the entire case turns. He was at the time considerably indebted to one Sam Mishkin, and the latter was pressing him for a liquidation of the account. Ferguson could not pay the debt, so at Mishkin's suggestion the following system was pursued. Ferguson would give Mishkin a bill of sale for a car received from appellee, receiving in payment therefor a check from Mishkin. Mishkin would give back to Ferguson a conditional sales contract for the same car, on which a nominal sum was paid down. Mishkin would then assign the conditional sales contract to appellant. Ferguson at the same time paid to Mishkin substantially the amount which Mishkin had previously paid him for the car, which amount was credited, not on the conditional sales contract for the car in question, but on the previous debt of Ferguson to Mishkin. The car itself at all times remained in the possession of Ferguson. The ultimate effect of this complicated maneuvering was that Ferguson attempted to transfer title to the cars...