Schomberg v. Bayly, 23.

• Decision Date: 06 June 1932
• Docket Number: No. 23.,23.
• Citation: 259 Mich. 135,242 N.W. 866
• Parties: SCHOMBERG v. BAYLY et al. (two cases).
• Court: Michigan Supreme Court

259 Mich. 135

242 N.W. 866

SCHOMBERG

v.BAYLY et al. (two cases).

No. 23.

Supreme Court of Michigan.

June 6, 1932.

Appeal from Circuit Court, Wayne County; Ormond F. Hunt, Judge.

Suits by Joseph Schomberg, administrator of the estate of Arthur Schomberg, deceased, against Thomas A. Bayly and others, and by Joseph Schomberg against the same defendants. From the judgment in each case, plaintiff appeals.

Affirmed.

Argued before the Entire Bench. Harry J. Lippman, of Detroit (J. Leon Katz, of Detroit, of counsel), for appellant.

E. Dean Alexander, of Detroit, for appellee Hall-Dodds Co.

NORTH, J.

These two suits arising out of the same automobile accident were tried together in the circuit court. There were five parties defendant: Thomas Bayly; Hall-Dodds Company, a Michigan corporation; G. R. F. Company, a Michigan corporation; Albert Bonstell; and Harold Bonstell. Plaintiff in each case had verdict and judgment against the two last named defendants; but early in the trial the circuit judge on motion of the other three defendants decided to direct a verdict in their favor and later did so. From the directed verdict in each case, plaintiff has appealed.

The directed verdicts were based upon the following facts: Hall-Dodds Company, a licensed automobile dealer, on May 23, 1927, received from Thomas A. Bayly a used motor vehicle. Four days later (May 27) the dealer entered into a conditional sales contract and delivered this motor vehicle to the defendant Harold R. Bonstell, who thereafter had continuous possession of the vehicle. The conditional sales contract was shortly assigned by the dealer to the G. R. F. Company, a finance corporation. The accident out of which the suits arose occurred June 24, 1927. The certificate of title to the used automobile was not delivered to the Hall-Dodds Company until June 18, 1927. When delivered, it was properly signed and sworn to. On the date of its receipt, Hall-Dodds Company reassigned the certificate of title to Harold R. Bonstell; and on June 20, 1927, this assigned certificate was delivered by Hall-Dodds Company to the branch office of the secretary of state in Detroit. Harold R. Bonstell had previously executed the application for a new certificate of title by filling out the blank provided for this purpose on the back of the assigned certificate.

Plaintiff contends that, since the transfer of the certificate of title was not in exact accordance with the statutory provisions (1 Comp. Laws 1929, §§ 4660-4665 inclusive), title did not pass from the the former owners to Bonstell, that the attempted sale to Bonstell was void and hence it was error to direct a verdict as to the three defendants, who as owners or custodians of the automobile permitted its use by Bonstell. Appellant asserts that (1) the statute (section 4660) requires delivery of the assigned certificate of title to the...