14
March 1, 1929
PRESTO-TIMES
sion of the piano cannot be sustained." (189 N. Y.
302.)
The Court Concluded.
In line with the foregoing language, the court con-
cluded by affirming the judgment of the lower court
in favor of the defendant. Taking the position that
since the defendant had no knowledge of the plain-
tiff's claim on the piano, when it was delivered to
Carlisle, the buyer, in the hotel, the defendant's lien
as a hotel keeper attached, and Carlisle's bill would
have to be settled before the piano could be removed.
Necessity for Care.
In the light of the facts and holding of the fore-
going case, it is obvious that a musical instrument
By LESLIE CHILDS
dealer should exercise some care in selling instru-
ments to customers who reside in hotels, in sole reli-
Where a musical instrument dealer sells on credit suit to recover the piano under the contract of sale. ance upon a title retention contract. At any rate,
and depends upon title retention contracts for protec- This, then, raised the question of whether the lien before making such sales he should inform himself
tion, he should not overlook the possible legal effect of the defendant, as a hotel keeper, was superior to on the legal force and effect of the hotel keeper's lien
of hotel lien laws upon his security, in making sales the title to the piano retained by the plaintiff at the upon property delivered to guests in the hotel.
to customers living in hotels. This is true because, time of its sale. The trial court found in favor of
If lie finds that under the laws of his state no lien
by law in many states, a hotel keeper is given a the defendant. The cause was then taken to the will attach, well and good. And his title retention
positive lien upon the property brought into the hotel higher court, and here, in passing upon the question contract will of course furnish him ample security
raised, the court quoted from the New York hotel for the account. On the other hand, if he ascertains
by the guest for any indebtedness incurred.
that the hotel statute is similar to the one in the case
And, mind you, such lien may not depend upon the statute then in force as follows:
reviewed, he may well watch his P's and Q's and see
ownership by the guest of the property, but only
The Legal Ruling
that his interests are properly protected, by notice of
upon his lawful possession. It follows if a musical
"A keeper of a hotel, inn, boarding house, or lodg- his lien to the hotel keeper or otherwise, when the
instrument is placed in the possession of the guest in
a hotel, the hotel keeper may acquire a lien thereon ing house, * * * has a lien upon, while in pos- instrument is delivered.
for money due him superior to the title of the mer- session, and may detain the baggage and other prop-
chant who sold the instrument. There is real danger erty brought upon their premises by a guest, boarder,
here to musical instrument dealers, as witness the or lodger, for the proper charges due from him on
account of his accommodation, board and lodging,
following:
and such extras as are furnished at his request.
Net income for the Victor Talking Machine Com-
Pianos Sold on Credit.
"If the keeper of such hotel, inn, boarding or pany for 1928, as shown by the annual report released
In one case of this kind, the plaintiff, a musical lodging house knew that the property so brought upon the other day. was $7,324,018, against $7,269,253 for
instrument dealer, sold one Carlisle a piano on the his premises was not, when brought, legally in pos- 1927. Net sales for the year amounting to $52,064,-
payment plan, and retained title to the instrument session of such guest, boarder, or lodger, or had 419. This profit is equal, after deducting annual div-
until paid for. Carlisle was living in a New York notice that such property was not then the property idend requirements of the proper preference and con-
hotel, and directed that the instrument be delivered of such guest, boarder, or lodger, a lien thereon does vertible preferred stocks, to $7.37 a share of common
to his apartment there since that was his residence. not exist."
stock, as compared with $7.22 in 1927. Included in
Plaintiff delivered the piano as directed, and Car-
Following the foregoing quotation from the statute the net profit is the company's proportionate equity
lisle made the agreed payments for a time, but after the court turned to the question of the validity of
in the income of the Victor Talking Machine Com-
awhile defaulted and notified the plaintiff to come the defendant's lien, in the light of the facts as they pany of Canada, Ltd., amounting to $1,055,210, com-
and get the piano. However, when plaintiff called have been outlined. In passing upon this question
puted on the basis of the Victor Company's owner-
for the piano the defendant hotel keeper claimed a the court reasoned as follows:
ship of 79.49 per cent of the outstanding stock of the
lien upon the piano for about $400 for food and rent
Canadian company during the three months ended
The Language of the Court
" "
incurred by Carlisle the buyer. In reply to this, the
March 31, 1928, and of 83.34 per cent from that date
"Upon the facts submitted, the defendant, by the to December 31. The option to acquire the outstand-
plaintiff produced the contract of sale by which the
express terms of the statute in effect at the times ing balance of 16.66 per cent was exercised in the
title to the piano remained in him.
mentioned, has a lien upon the piano for the entire latter part of December, resulting in full ownership of
Points to Statute.
amount of her claim. When the piano came into the the Canadian company at the end of the year.
This didn't impress the defendant hotel keeper at possession of the defendant through her guest, a part
all, for she pointed to the New York hotel statute in of the unpaid account had accrued; a part accrued
force at that time which gave her a positive lien upon thereafter while Carlisle remained a transient guest in
MUSIC FOR INAUGURAL BALL.
the property brought by guests into the hotel, in the the defendant's hotel.
At the inaugural ball in Washington on March 4,
absence of notice to her that the guest did not own
"And the remaining part of the unpaid account ac- five musical organizations will be heard. They are
the property. And, in support of her claim, the de- crued while Carlisle was the occupant of the apart- the orchestra of the United States Marine Band, a
fendant denied that she had any knowledge of the ments in the defendant's hotel as a guest at an dance orchestra from the Navy Yard in Washington
plaintiff's title to the piano when it was delivered into agreed price per year. If the defendant had a lien and a similar unit of the Army Baud, the American
the hotel to the buyer Carlisle.
upon the piano for any part of the account claimed
Indian Reserve Band and Specht's Orchestra. At
Well, to make a rather long story short, the dis- by her, she was entitled to retain possession of it, the beginning- of the broadcast all five musical units
pute that followed culminated in the plaintiff filing and the plaintiff's demand and claim for the posses- will be heard in concert.
STATE LAWS AND RIGHTS IN
PIANO OWNERSHIP
Beware of Hotel Lien Laws When Selling Musical Instruments to Guests,
Because Statutes, Rulings and Precedents Title to the Goods
May Prove Insufficient When Tested
VICTOR NET INCOME
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