Commercial Investment Trust v. Albemarle Motor Co.

The registration of the chattel mortgage antedates that of the contract between the plaintiff and the Albemarle Motor Company; if, therefore, the contract is a conditional Sale of the cars, the chattel mortgage has priority, and the debt due the bank should be paid. C. S., 3312; Observer Co. v. Little, 175 N. C., 42. What, then, is the legal effect of the contract?

If personal property is delivered by one person to another under the terms of a contract whereby the latter is to acquire the retained title to the property upon the performance of a condition, such as the payment of the purchase…