Erickson

This is an appeal in bankruptcy proceedings from an order disallowing appellant Oil Well Supply Company’s secured claim against the bankrupt A & B Oil Company in the amount of $1,970.35. The sole question before us is whether a chattel mortgage upon which the appellant’s claim is based was properly recorded under the laws of California.

The facts are not in dispute. The bankrupt is a corporation organized under the laws of California to carry on oil well operations. Its articles of incorporation designated the county of Los Angeles as the location of its principal office for the transaction of its business, pursuant to section 290, subdivision 3, of the California Civil Code.

The bankrupt’s main office was situated in the city of Los Angeles. It had there its books and records. It carried on its banking there. Receipts from its operations were sent to its Los Angeles office and disbursements made from there.

All other operations of the bankrupt and all its real and personal property other than what was required to carry on the described business in Los Angeles was situated in Santa Barbara county. This property consisted of two oil and gas leases, the wells drilled thereon…