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United Virginia Bank v. Dick Herriman Ford, Inc.

Virginia Supreme Court

215 Va. 373 (1974)

Facts

United Virginia Bank of Fairfax (plaintiff) entered into a contract with the Dick Herriman Ford, Inc. (defendant) car dealer. Under the contract, the dealer was required to record a first lien on the car title of a particular vehicle that had been purchased in favor of the bank. The dealer failed to do so, and the vehicle purchaser later defaulted on the car loan. Because the lien was not recorded, the bank did not have first priority on the vehicle. The bank sued the dealer, alleging breach of contract. The bank established the purchase price of the vehicle at the time of sale. The trial court ruled that the dealer breached the contract but granted summary judgment to the dealer because the bank failed to prove the value of the vehicle at the time that the vehicle purchaser defaulted. The bank appealed.

Rule of Law

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Issue

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Holding and Reasoning (Cochran, J.)

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A "yes" or "no" answer to the question framed in the issue section;
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The procedural disposition (e.g., reversed and remanded, affirmed, etc.).

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