Cashmere Valley Bank v. Pacific Fruit & Produce Co.

In 1937, the Cashmere Valley Bank made loans of money to six growers of apples whose orchards are located at Cashmere and took a chattel mortgage on the growing'fruit crops for the money advanced. Each of the six fruit growers agreed to care for the fruit by furnishing the materials and performing the services which were furnished by defendant, which seeks to deduct the cost thereof from the sale price of the mortgaged apples. The pertinent provision of the chattel mortgage reads as follows:

“And the said parties [Mortgagors] of the first part do hereby covenant and agree to and with the said…