Jarnagan v. Gaines

Citations

• 84 Ill. 203

Syllabus

<p>Mortgage—release by taking new notes under composition agreement. Where a party, having a note secured by mortgage, and after the institution of proceedings in bankruptcy by him against the maker, enters into an agreement with the other creditors of the maker to dismiss the proceedings in bankruptcy, and to take a new note, payable in two years'from date, without interest, in the absence of proof of the intention of the parties, the taking of such new note will operate as a release of the mortgage.</p>