Walton & Whann Co. v. Davis

Citations

• 19 S.E. 159
• 114 N.C. 104

Syllabus

<p>Pledgee, of Note Secured by Mortgage — Rights of, as against another similarly secured held by the mortgagee or his trustee — Assignment for Benefit of Creditors.</p> <p>K. & Co., holding a mortgage to secure a note and advances made and to he made, transferred the note before maturity to plaintiff as collateral security, and thereafter made an assignment to the defendant of all their property, including the mortgage, for the benefit of creditors. The mortgagors delivered a part of the crop covered by the mortgage to the defendant, who converted the same into money: Held (1), that the defendant assignee in respect to such transaction succeeds only to the rights of K. & Co., his assignors;,(2), that plaintiff, assignee of the note, is entitled to have the money applied on the note in preference to the account for advances.</p>