McClure v. American National Bank
McClure v. American National Bank
Opinion of the Court
The appellee filed its bill in chancery against C. N. McClure and Lydia J. McClure, his wife, for the enforcement of a mortgage lien upon certain described lands, in which it was alleged that the mortgage was executed by the defendants, on the 8th day of April, 1910, to secure the payment of a promissory note executed by C. N. McClure, on the same day, to H. P. Ferris, for $700.00, payable twelve months after date, bearing interest at the rate of eight per cent, per annum from date until paid, the interest being payable quarter-annually, and “that thereafter, and prior to its maturity, for valuable consideration, the said H. P. Ferris endorsed the same over to this complainant,” who is the appellee here. C. N. McClure was served by publication and a decree pro confesso duly entered against him for failure to plead, answer or demur to the bill. Personal service was obtained upon Lydia J. McClure, who filed an answer to the bill, to which the complainant filed the general replication, and the cause was referred to a special master to take the testimony of the respective parties. Upon the final hearing, a decree was rendered in favor of' the complainant, in accordance with the prayer of the bill, against the two defendants.. From this decree Lydia J. McClure has entered her appeal and has assigned five errors, all of which question the correctness of the decree and will be treated together. TYe do
What we have said is sufficient for a proper disposition of the case. However strongly we may sympathize with the appellant as the victim of her husband’s fraud, we are powerless. to aid her. The note and mortgage being fair and regular upon their face in all respects and having been acquired by the appellee for value before maturity in good faith, without any notice or knowledge of any latent defects therein or of any fraud which may have been practiced upon the appellant by her husband, the appellee cannot be required to bear the consequences of such fraud. The decree must be affirmed.
Reference
- Full Case Name
- Lydia J. McClure v. American National Bank of Pensacola, a Corporation
- Cited By
- 21 cases
- Status
- Published
- Syllabus
- 1. As a general rule, tbe endorsement of a pote which is secured by a mortgage carries with it such mortgage. The note is the principal thing, the mortgage being regarded as an accessory, so that the transfer of the debt ipso facto carries with it the security. The assignee takes the mortgage as he does the note. 2. The certificate of a notary public, or other officer empowered to take acknowledgements, of the acknowledgment to a deed Or mortgage, in the absence of fraud or duress, is conclusive as to the facts therein stated. The assignee of a note and mortgage which are fair and regular upon their face in all respects who has acquired the same for value before maturity in good faith, without any notice or knowledge of any latent defects therein or of any fraud which may have been practiced in connection with the execution or acknowledgment, cannot be required to bear the consequences of such fraud.