Peters v. Gay

Citations

• 9 Wash. 383
• 37 P. 325
• 1894 Wash. LEXIS 324

Syllabus

<p>EVIDENCE —PROOF OF RECORD — NEGOTIABLE INSTRUMENTS — FRAUD OF PAYEE —RIGHTS OF INNOCENT PURCHASER.</p> <p>The original mortgage filed, for record, with the certificate of the auditor under his hand and seal stating the time of filing and the volume and page where the instrument is recorded, is competent evidence of the record.</p> <p>Although a promissory note and mortgage securing the same have been diverted by the payee from the purpose designed by the maker at the time of their execution, no consideration having passed to the makers, and have been endorsed and assigned by the payee before maturity to a bona fide purchaser for a valuable consideration, such purchaser has priority over the maker and subsequent mortagees who take with notice of the record of the prior mortgage.</p>