Andersonian Investment Co. v. Jones

Citations

• 104 Wash. 142
• 176 P. 17
• 1918 Wash. LEXIS 1166

Syllabus

<p>Mortgages (8) — Debts Secured — Future Advances — Intent— Failure to Advance. Where a mortgage was given for $25,000 to secure advances for the construction of a building, but the mortgagee advanced thereon but $13,125, and it appears that $10,000 was loaned to the constructor of the building on its personal credit and promissory note, under an agreement that such sum and $2,000 additional be expended on the building before any part of the $25,000 should be advanced, and the mortgagors were not parties to such agreement, it was not the intention to make the $10,000 an advance secured by the mortgage, and the mortgagee has a lien only for the sums actually advanced.</p> <p>Mechanics’ Liens (71) — Priority—Mortgages—For Future Advances. Under Rem. Code, § 1132, giving a preference to mechanics’ liens over any mortgage which may attach subsequently to the time of the commencement of the labor, an architect’s lien upon a building is superior to a mortgage for future advances, where the mortgagee had previous notice that the architect had already commenced to perform labor upon the plans and specifications and would continue as architect and superintendent of construction.</p> <p>Same (71). Where a second mortgage was subject to a mortgage for $25,000 to secure future advances for the construction o£ a building, which sum was ample to pay all liens, but only $13,125 was advanced, resulting in liens for labor and materials, equity and good conscience requires that the liens be substituted as superior liens in place of the first mortgage to the extent of $25,000, although some of the labor was furnished after the giving of the second mortgage; since the second mortgagee had the benefit of the construction secured by the first mortgage.</p> <p>Costs (61, 72) —On Appeal — Successful Parties — Apportionment on Cross-Appeals. Upon cross-appeals in a foreclosure suit, plaintiff, unsuccessful in all respects, is entitled to no costs; a second mortgagee, resisting plaintiff’s