Haggert v. Brampton (Town)

Haggert v. Brampton (Town)

Between a mortgagor and mortgagee the decisive test is degree of annexation plus the object — if even slight annexation is appropriate to the articles' use and shows intention to permanently improve or adapt the premises, the items become part of the realty and pass under a mortgage covering machinery annexed to the freehold; applying this test the court held most of the contested machinery and certain other items were fixtures and thus covered by the mortgage, while a specified list of machines and articles that merely rested by weight or were not integral to fixed countershafting remained chattels. The appeal was dismissed.

Citation
(1897) 28 SCR 174
Parties
Appellant (plaintiff): Robert Haggert; Respondent (defendant): The Town of Brampton; Respondents (defendants): Richard Blain and John McMurchy
Court
Supreme Court of Canada
Jurisdiction
Canada
Judgment Date
9 December 1897
Procedural Posture
Appeal From Court of Appeal for Ontario — Dispute Over Fixtures Vs Chattels Under a Mortgage / Final Decision of the Supreme Court of Canada (appeal Dismissed)
Outcome
Appeal dismissed without costs.
Legal Topics
Fixtures Vs Chattels, Constructive Annexation, Going Concern Mortgage, Mortgagor Vs Mortgagee Rights, Priorities and Hypothecs, Trade Fixtures
Source Language
English
Property Law Mortgage Law Commercial Law Insolvency Fixtures Vs Chattels Constructive Annexation Going Concern Mortgage Mortgagor Vs Mortgagee Rights +2 more

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Parties

Robert Haggert

Appellant (plaintiff)

The Town of Brampton

Respondent (defendant)

Richard Blain and John McMurchy

Respondents (defendants)

Procedural Posture

Appeal From Court of Appeal for Ontario — Dispute Over Fixtures Vs Chattels Under a Mortgage / Final Decision of the Supreme Court of Canada (appeal Dismissed)

Legal Issues

  1. 1 Whether specified machinery and other articles were fixtures (part of the freehold) or removable chattels
  2. 2 Whether a mortgage describing land "including all the machinery annexed to the freehold" covered the contested items
  3. 3 Whether slight physical annexation combined with the purpose of improving the freehold suffices as annexation between mortgagor and mortgagee

Ratio Decidendi

Between a mortgagor and mortgagee the decisive test is degree of annexation plus the object — if even slight annexation is appropriate to the articles' use and shows intention to permanently improve or adapt the premises, the items become part of the realty and pass under a mortgage covering machinery annexed to the freehold; applying this test the court held most of the contested machinery and certain other items were fixtures and thus covered by the mortgage, while a specified list of machines and articles that merely rested by weight or were not integral to fixed countershafting remained chattels. The appeal was dismissed.

Court Disposition

Appeal dismissed without costs.

Orders

  • Appeal dismissed without costs
  • Modify judgment below to declare specified items remain chattels: in office one copying press and table; in blacksmith's shop No.7 anvil and No.9 four anvils; in boiler shop No.11 two anvils; in long wood shop iron clamp for making engine wheels; in wood finishing shop the band sawing machine and saws in connection...