Beardsley v. Empire Trust Co.

• Decision Date: 09 May 1924
• Citation: 124 A. 457
• Parties: BEARDSLEY v. EMPIRE TRUST CO.
• Court: New Jersey Court of Chancery

124 A. 457

BEARDSLEY

v. EMPIRE TRUST CO.

Court of Chancery of New Jersey.

May 9, 1924.

Bill by Ten Eyck R. Beardsley against the Empire Trust Company, wherein defendant by cross-bill asserted the right to foreclose a mortgage on the land involved. Decree for complainant.

William H. Osborne, of Newark, for complainant.

Samuel F. Frank, of New York City, and Edward Hollander, of Weehawken, for defendant.

CHURCH, V. C. This is on bill to quiet title, with an answer and cross-bill asserting the right of the defendant to foreclose a blanket mortgage on 4 lots of a tract of about 600 lots owned by the complainant.

The facts as stated in the brief and admitted at the argument are practically as follows:

The complainant, Empire Trust Company, is a corporation organized and existing under the laws of the state of New York, and having its principal office at No. 120 Broadway, Borough of Manhattan, New York City, N. Y.

That heretofore, and on or about the 8th day of May, 1911, one Josephine M. Brown, a widow, for the consideration therein mentioned, duly executed, acknowledged, and delivered to Holland Security Company, a New York corporation, a certain mortgage for $20,000 dated on said 8th day of May, 1911, covering certain lands and premises then owned by said Josephine M. Brown in the township of Eatontown, Monmouth county, N. J., therein fully described, and duly recorded in the office of the clerk of said Monmouth county, N. J., on the 12th day of May, 1911, in Book 415 of Mortgages, pp. 443, etc.

That said mortgage was duly given to secure payment of a certain bond of said Josephine M. Brown in the penal sum of $40,000, and conditioned for the payment of said sum of $20,000 on the 1st day of May, 1912, with interest at 6 per cent. per annum, payable semiannually. That said mortgage contained no release clause.

That thereafter, and on or about the 27th day of August, 1920, said Holland Security Company, for a valuable consideration, duly assigned said mortgage and its accompanying bond to one Mabel A. Cooper by an instrument in writing, bearing date on that day, and duly recorded in the office of the clerk of said Monmouth county. N. J., on the 6th day of February, 1922, in Book 83 of Assignments of Mortgages, p. 444.

That thereafter, and on or about the 22d day of November, 1920, said Mabel A. Cooper further duly assigned said mortgage and its accompanying bond to the defendant. Empire Trust Company, by an instrument in writing, bearing date on that day, and duly recorded in the office of the clerk of said Monmouth county, N. J., on said 6th day of February, 1922, in Book 83 of Assignments of Mortgages, p. 446.

That the defendant, Empire Trust Company, is now the owner and holder of said mortgage and its accompanying bond, and that on the 16th day of August, 1922, there was due and unpaid thereon the principal sum of $20,000, and interest thereon at 6 per cent. from the 8th day of May, 1911, to said 16th day of August, 1922, amounting to $13,526.66, a total of $33,526.66.

That subsequently to the execution and delivery of said mortgage, and by a certain deed dated the 21st day of October, 1911, acknowledged the 30th day of October, 1911, and recorded in the office of the clerk of said Monmouth county, N. J., on the 2d day of November, 1911, in Book 915 of Deeds, pp. 170 etc., said Josephine M. Brown, for a full valuable consideration, duly conveyed to the complainant, Ten Eyck R. Beardsley, a portion of the lands and premises described in said mortgage. That said deed contained full covenants of...