Western Board of Adjusters, Inc. v. Newport Motor Yachts, Inc.

Western Board of Adjusters, Inc. (hereinafter referred to as Western), appeals from an order of the trial court determining that the interest of third party claimant Santiago Commercial Bank (hereinafter *93 referred to as Santiago) in and to one Mercedes Benz automobile is superior to that of Western as a levying judgment creditor.

Western, as judgment creditor of Joseph Stephens, on Monday, December 28, 1970, levied on a 1968 Mercedes Benz automobile (hereinafter referred to as the Mercedes) which was registered prior to October 1970, in the name of Joseph Stephens with Newport National Bank (hereinafter referred to as Newport) as legal owner. Santiago filed a third party claim and requested a hearing. Both sides complied with Code of Civil Procedure section 689. The trial court, after a hearing on the opposing claims, sustained Santiago’s security interest.

Western contends on this appeal that the trial court’s determination was in error since the security interest held by Newport had not, at the time of the levy, been validly assigned to Santiago. This contention lacks merit.

Sometime shortly before October 4, 1970, Joseph Stephens executed a document purporting to…