Ullman v. Lockhart

Citations

• 51 Fla. 602

Syllabus

<p>FRAUD—MORTGAGE EXECUTED EXPRESSLY TO DB FRAUD CREDITORS OF MORTGAGOR IS VOID, WHETHER MORTGAGOR IS SOLVENT OR INSOLVENT.</p> <p>Where a party indebted to divers persons, makes a note for a large sum secured by mortgage to her sister, who at the time is wholly without means to loan any money, and such note and mortgage are without any consideration whatever, and are transferred and assigned by the mortgagee, without any consideration, to a third party for foreclosure, who is at the time a trusted employee of the mort* gagor, and who is fully cognizant of the fact that the execution of the note and mortgage and their transfer to him for foreclosure in his name were not bona fide, but devised and concocted for the express purpose of defrauding the bona fide creditors of the mortgagor, such mortgage and note is a fraud in fact upon the creditors generally of the mortgagor, and is utterly null and void as to such creditors; and, being designed in fraud, it made no difference whether the mortgagor was at the time of its execution solvent or insolvent.</p>