Harper v. Ely

Citations

• 70 Ill. 581

Syllabus

<p>1. Mortgage—when mortgagee is rightfully in possession. Where a sale is had under a deed of trust and the premises are purchased by the holder of the debt for default in payment, and the debtor causes the sale to be set aside, in equity, for an irregularity and fraud in the same, the purchaser will be regarded as a mortgagee in possession for condition broken, and not as a trespasser.</p> <p>2. Same—payment for taxes and insurance on redemption. Where, by the terms of a mortgage, the mortgagor is required to pay the taxes as they become due and keep the property insured, and the mortgagee takes possession for default, he will have the right to keep the premises insured and make the rents pay for the cost of the same and the taxes.</p> <p>S. Same—rule for charging mortgagee in possession with rents on hill to redeem. On bill to redeem from a mortgage, where the mortgagee has been in possession, the latter will be charged with the rents actually received, oand what could have been received by reasonable care and diligence.</p> <p>4. Same—allowing prior incumbrances discharged to mortgagee on hill to redeem. A mortgagee, on bill to redeem, will he allowed all sums advanced by him to remove prior incumbrances, and if the prior incumbrance bore ten per cent interest as well as the mortgage debt, the mortgagee will be subrogated to the rights of the prior lien creditor, and may he allowed the same rate of interest.</p> <p>5. Same—whether mortgagee in possession is entitled to commissions for rents collected. On bill to redeem from a mortgage, where the mortgagee is in possession, the mortgagee will not he allowed commissions for collecting rents and looking after the property. It will be enough if he is allowed what he pays out for collecting the rents.</p> <p>6. Same—right to possession. Where a mortgagee is in possession for condition broken, he will have the right to keep the same until his debt is fully paid.</p> <p>7. Same—costs on-bill to redeem. It is'a well set