Appeal, No. 2, Jan. T., 1951, from judgment of Court of Common Pleas of Northampton County, June T., 1937, No. 183, in case of Schnebbe Fire Protection Engineering Corporation v. Estate of Clyde F. Sandt et al. Judgment affirmed; reargument refused August 16, 1950.
Harry P. Creveling, with him David Freeman, for appellant.
Jacob A. Raub, Jr., for appellees.
Before Drew, C.j., Stern, Stearne, Jones and Bell, JJ.
OPINION BY MR. JUSTICE ALLEN M. STEARNE
The question raised by this appeal is whether or not the court erred in directing a verdict for defendants in a replevin suit.
Clyde F. Sandt, whose estate is a defendant, entered into a written contract with the Schnebbe Fire Protection Engineering Corporation, whereunder Sandt agreed with the corporation that it should furnish and install a sprinkler system in his garage and salesroom in the City of Easton. Payment therefor was to be made in a manner then customarily in vogue, viz.: Sandt covenanted to pay the amount of existing fire insurance premiums which he was then paying to the corporation for a specified number of years, the difference in the reduced rates of insurance after the installation of the equipment,
retained by the equipment corporation, constituting the purchase price and cost of installation. Upon the completion of the contract Sandt, of course, would receive the benefit of the reduced rates of fire insurance because of the added fire protection.
It was agreed in the contract that title to the sprinkler system, after installation, should remain vested in the Equipment Company " as personal property " until completion of the contract, and upon default, the Equipment Company could, inter alia, enter upon the premises and remove the equipment.
At and before the execution of the contract, the premises in question were encumbered by a mortgage held by the Northampton County Building & Loan Association, the other defendant. It was averred in the mortgagee's answer, and not denied: "1: That it had no notice of any kind of the installation and placing upon the premises upon which it held a mortgage, of a sprinkler system by Clyde F. Sandt, the defendant, or by the plaintiff, and did not agree in any manner to the placing or installing of the said sprinkler system in and upon the said premises, and the Defendant, the Northampton County Building and Loan Association, is not bound in any way by any agreements in regard thereto."
The mortgage was foreclosed, because of default, and the premises sold and conveyed to the mortgagee by the Sheriff. At the sale the Equipment Company gave notice of a claim of title to the Sprinkler System. Default being made by Sandt in the contract, an action of replevin was instituted to recover the sprinkler system. Upon answer being filed by the mortgagee, then the real ...