Mercantile Exchange Bank v. Taylor

Citations

• 51 Fla. 473

Syllabus

<p>1. A married woman, engaged in a mercantile business in her own name, and owning merchandise which is her separate statutory property, valued at $18,000 and indebted to a bank in the sum of $4,400, for which she had given her notes for moneys borrowed by her and used in purchasing, and replenishing her said stock of merchandise, executed on the 2Gth of May, 1908, a mortgage to the bank on said stock of merchandise, and a lease of her store room to secure the payment of said borrowed moneys, costs, &c., in which mortgage the husband of the married woman joined, and therein himself covenanted to pay the said money. By the terms of the mortgage the bank was authorized to take immediate possession of the mortgaged property, and to sell and dispose of the same and to pay the debt secured, costs, &c. The bank went into immediate possession of the mortgaged property and was proceeding to sell and dispose of the said mortgaged property when enjoined by a creditor of the married woman. In a proceeding in chancery brought by a creditor of the married woman, attacking the mortgage to the bank, it is held: (a) That the married woman was authorized under the constitution and laws to execute such a mortgage, that it- was bona fide, and supported by a valuable consideration.</p> <p>(b) That as it does not appear what was the extent of the indebtedness of the married woman which could be charged in equity upon her separate statutory property, nor how much property she owned, nor the value at the time she executed the mortgage, it cannot be held void as hindering, delaying or defrauding other creditors.</p> <p>2. The fact that a mortgage is made on $18,000, worth of property to secure a debt of $4,400, is not of itself, sufficient to establish a fraudulent intent in the execution of the mortgage.</p>