Sabin v. Smith

Citations

• 107 Wash. 656
• 182 P. 589
• 1919 Wash. LEXIS 790

Syllabus

<p>Bankbottcy (7,121—Disci-tABGE—Effect—Fbatjdtjlent Tkansfeb. Where an insolvent debtor, with property subject to two mortgages, made fictitious deeds to relatives, procured a collusive foreclosure of the first mortgage under an agreement to pay the debt in installments and redeem at any time, and then went through bankruptcy, obtaining a discharge of personal liabilities to evade the second mortgage indebtedness, subsequently redeeming the title, he will be held in equity to have retained the property for the protection of the second mortgage and not for the purpose of defeating his rights; since there never was a bona fide sale or foreclosure.</p>