Farmers Production Credit Assoc. v. Tarbox

Retention of possession of mortgaged chattels, generally speaking, invalidates the mortgage as to creditors and bona fide purchasers. Adler vs. AmmermanFurniture Co., 100 Conn. 223, 228. However, by virtue of section 1591c of the 1935 Supplement to the General Statutes, the validity of a chattel mortgage "upon livestock, farm machinery or farm equipment" is preserved, as to such third parties, when given and recorded in compliance with it, notwithstanding that possession of the mortgaged property is retained by the mortgagor. Hartford Production Credit Asso.vs. Clark, 118 Conn. 341, 343.

On…