Ballou v. Young

Citations

• 42 S.C. 170
• 20 S.E. 84
• 1894 S.C. LEXIS 41

Syllabus

<p>1. Deed — Misrepresentation—Case Criticised. — Where a woman, illiterate and almost blind, and without negligence on her part, signs a deed of conveyance which is different from what it was represented to her to be, the fraudulent vendee and those claiming under him acquire no title by such deed. Montgomery v. Scott, 9 S. 0., 20, and 10 Id., 449, approved.</p> <p>2. Negotiable Note — «Mortgage.-—Where a party, having the power to do so, executes a promissory note and a mortgage to secure it, an endorsement and transfer of the note operates as an assignment of the mortgage, and if the endorsement was for valuable consideration before due, such mortgage is governed by the rules of commercial law applicable to negotiable instruments.</p> <p>3. Ibid. — Ibid.—Power to Execute Mortgage. — But power given to a trustee, if necessary in his. discretion, to mortgage the land held by him in trust for certain purposes, does not include the power to make a negotiable promissory note for a debt which he executes a mortgage on this land to secure; and, therefore, if the trustee makes such note and mortgage.in breach of his trust, so known to be by the payee, an endorsee for value before due of this note and assignee of the mortgage takes the mortgage subject to its invalidity in the hands of his assignor.</p>