American &c. Co. v. Felder
American &c. Co. v. Felder
Opinion of the Court
The opinion of the court was delivered by
The facts connected with this case are fully stated in the decree of his honor, Judge Witherspoon, which, together with appellant’s exceptions, will be incorporated in the report of the case. The exceptions raise practically but three questions: I. Was Col. Aldrich the agent of the mortgagee, so as to charge the mortgagee with notice given to Col. Aldrich? II. Did Col. Aldrich have notice that the money1 borrowed was not for the use of the mortgagor, a married woman? III. Was the mortgage executed and delivered by Mrs. Bessie C. Felder null and void?
The case of Pelzer v. Durham, 37 S. C., 355, decides that when the money is borrowed for the use of the husband, and this fact is known to the mortgagee, the mortgage is null and void, even when the money is placed to the wife’s credit on the mortgagee’s books, and drawn out on her drafts mostly in favor of the husband, and none of it used by the wife. The many cases on this subject can be harmonized by bearing in mind the distinction in the cases where the money is actually borrowed by the wife, although the mortgagee may have knowledge that the wife intends to dispose of it in such a manner as will be of no benefit to her separate estate, and the cases where-the mortgagee knows that the money is not to go into the possession of the wife and become part of her separate estate. The third question must be answered in the affirmative.
It is the judgment-of this court, that the judgment of the Circuit Court be affirmed.
Reference
- Full Case Name
- AMERICAN &C. COMPANY v. FELDER
- Cited By
- 6 cases
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- Syllabus
- 1. Attorney. — Notice—Married Women. — A party is chargeable with notice of all facts made known to the attorney employed by linn to examine the title of land offered as security for a loan, and while engaged in such examination, affecting the validity of the proposed mortgage, as, e. g., that the mortgage to be given by a married woman was to raise money for her husband’s use. 2. The Finding of Fact by tiie Circuit Judge, from testimony reported by the master, that an attorney had notice of the intended application of money about to be borrowed in the name of a married woman, not disturbed. 3. Married Women — Mortgage—Proceeds.—A mortgage is null and void where given by a married woman to raise money for her husband’s use, with the knowledge of the mortgagee, the proceeds of the loan being received by the husband on drafts given by mortgagee to mortgagor and payable to her order, and endorsed by her and handed to her husband to collect.