Gateway Discount Corp. v. Reed

In essence this case involves the effectiveness of a full release of liability by a conditional vendee to a tort-feasor who settled an automobile damage claim with the conditional vendee without making the conditional vendor a party thereto. The tort-feasor had actual notice of the interest of the conditional vendor in the automobile. The trial court found the release by the conditional vendee barred the claim of the conditional vendor against the tort-feasor in the absence of any contrary agreement between the tort-feasor and the conditional vendor, or of bad faith on the part of the…