Parker v. Randolph

Citations

• 5 S.D. 549
• 29 L.R.A. 33
• 59 N.W. 722
• 1894 S.D. LEXIS 85

Syllabus

<p>1. Respondent became the purchaser of notes and mortgages through defendant Emery, under general instructions to reinvest certain money then in Emery’s hands. There was a prior mortgage on the same premises, given by defendant Randolph to Emery, which Emery sold to appellant, and discharged before record of assignment.. He subsequently procured a quitclaim deed of the mortgaged premises, and by quitclaim deed conveyed the same to r-espondent, who, in consideration therefor, surrendered the mortgages. Held, in an action by appellant to foreclose his mortgage, that respondent’s quitclaim deed did not make him a bona fide holder of the title to the mortgaged premises. Corson, P. J., dissenting.</p> <p>2. The transfer of a note secured by a mortgage carries with it the mortgage also, and when the original mortgagee and payee sells such note without assigning the mortgage to the purchaser of the same, and then takes subsequent mortgages upon the same property and fraudulently discharges the prior mortgage, he can gain no advantage thereby, either for himself or for one for whom he is acting as agent, in any of the transactions directly involving the property mortgaged.</p> <p>(Syllabus by the Court.</p>