145 Ind. 569 | Ind. | 1896
— This action was brought, by appellants against appellees, upon a promissory note, executed
The only error assigned calls in question the action of the court in sustaining the demurrer of Eli A. Collins to the amended complaint. It is alleged, in the amended complaint, “that appellee, Jesse D. Collins, became indebted to appellants for lumber, and gave his note therefor, which is due and unpaid (a copy of which is set forth in the complaint); that said lumber was sold by appellants to said Jesse D. Collins, to be used in the construction of buildings and improvements: on certain real estate in Huntington (describing it), then owned by said appellee, and that said lumber was so used in the construction of said buildings,, which became and were real estate; that said lumber was sold and the credit given by appellants to said appellee upon the express agreement that the real estate and buildings described should be considered and held as a security for said indebtedness, and the same should be a lien thereon to secure the payment of said indebtedness; that said appellant soon thereafter become insolvent, and that while insolvent he sold and conveyed said real estate to his co-appellee, Eli A. Collins, who took the same with the full knowledge of the foregoing facts, and that said note is due and unpaid, etc. Demand for judgment on the note, and that the same be declared a, lien on said real estate, and that the same be sold,” etc.
If appellants had taken from the purchaser a chattel mortgage on the lumber at the time of the sale thereof, and not recorded the same within ten. days, it could not have been enforced against a subsequent purchaser of the lumber, or of the real estate on which the same was used, with notice of such mortgage. Ross v. Menefee, 125 Ind. 432, and cases cited on p. 439.
It is clear that the building and improvements in which said lumber was used were real estate, and not personal property. Seymour v. Watson, 5 Blackf. 555; Ricketts v. Dorrel, 55 Ind. 470; The Bass Foundry, v. Gallentine et al., 99 Ind. 525.
It is claimed, however, by appellant that the indebtedness mentioned in the amended complaint was a lien on the real estate upon which the lumber was
This was not a sale of real estate, but a sale of personal property. An equitable lien upon real estate does not result from the sale of personal property, even though such personal property was furnished for and used in the erection of buildings upon such real estate.
To obtain a lien in such cases proper steps must be taken under the statue concerning liens. Sections 7255-7267, R. S. 1894
There is no error in the record.
Judgment affirmed.