Stanber v. Sims Magneto Co.

The receivers of the insolvent defendant company dispute a chattel mortgage given by the company to William G. Sargent as security for a loan of $25,000, on the grounds that the affidavit annexed to the mortgage is untrue; that the consideration was not paid until after the making of the affidavit, and that the mortgage was not immediately recorded as required by the Chattel Mortgage act. The chattels, covered by the mortgage, were sold,pendente lite, free of the mortgage, and the mortgage, if valid, is payable out of the proceeds in the hands of the receivers.

Charles Hayden and Fergus Reid,…