Greig v. Smith

Citations

• 29 S.C. 426
• 7 S.E. 610
• 1888 S.C. LEXIS 151

Syllabus

<p>1. A married woman gave her bond to secure advances to be made to her, authorizing her husband to use the said advances in his own name and business as her true and lawful attorney; and to secure the payment of this bond she executed a mortgage of a lot of land, her separate estate, reciting: “This mortgage is given for the purpose of securing advances to me through my husband, W. G. Smith, and in his own name.” The account on the books of the mortgagees was in the name of the husband as attorney for his wife, and the advances were forwarded by express to the same address. The money was used by the husband in paying his own debts, but the mortgagees had no notice of such a purpose on his part, field, that the mortgage was a valid encumbrance on the separate estate of the wife embraced therein. Mr. Chief Justice Simpson, dissenting.</p> <p>2. The husband having received advances over and above the amount advanced under the mortgage, and having shipped cotton to the creditors without any direction as to its application, the creditors could properly apply it to the unsecured amount.</p> <p>3. Under contract made by the husband to pay a fixed sum as liquidated damages for every bale of cotton not shipped as per agreement made by him, the wife or her estate were not liable.</p>