Ætna Life Insurance v. Finch

84 Ind. 301
CourtIndiana Supreme Court
DecidedMay 15, 1882
DocketNo. 10,174
StatusPublished
Cited by24 cases

This text of 84 Ind. 301 (Ætna Life Insurance v. Finch) is published on Counsel Stack Legal Research, covering Indiana Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ætna Life Insurance v. Finch, 84 Ind. 301 (Ind. 1882).

Opinion

Best, C.

The appellant brought this action to foreclose a mortgage executed to it by the appellees Peyton R. Finch and Lavinia, his wife, upon several parcels of land in Gibson county, Indiana, on the 15th day of May, 1877, to secure the payment of a note of $800, due five years after that time, and against George W. Finch, executor of the estate of "William Finch, deceased, George Drysdale, administrator of the estate of Calvin Drysdale, deceased, Albert W. Douglass, Avery Allen and Ann Cully, each of whom, it was alleged, held a lien upon the premises in the complaint described, subject and junior to ap[302]*302pellant’s mortgage, upon -which $1,000 was alleged to be due and unpaid.

An answer in denial was filed. The appellees Albert W. Douglass, Avery Allen and Ann Cully joined in a counterclaim, in which they alleged substantially that Peyton R. Finch, William Finch, deceased, and Calvin Drysdale, deceased, on. the 7th day of June, 1873, executed to Albert W. Douglass their note for $400, payable one year thereafter, with ten per cent, interest and five per cent, attorney fees; that said makers, on the 10th day of March, 1873, executed to said Douglass their note for $633, payable one year thereafter, with ten per cent, and attorney fees; that- said makers, on the 16th day of November, 1874, executed to said Douglass their other note for $100, payable one year thereafter, with ten per cent, interest and attorney fees; that said makers, on the 31st day of March, 1874, executed to Ann Cully their note for $200, payable one year thereafter, with ten per cent, and attorney fees; that said makers, on the 20th day of January, 1875, executed their note to Avery Allen for $500, payable one year thereafter, with ten per cent, interest and attorney fees; that each of said notes, with the interest thereon, except a portion of the latter, which had been paid by William Finch, deceased, was due and remained unpaid. It was further averred that Peyton R. Finch was the principal in each of said notes, and that, for the purpose of securing their payment and to indemnify his sureties against loss, said Peyton R. Finch and his wife Lavinia, on the 5th day of February, 1876, executed to said William Finch and Calvin Drysdale, then in life, a mortgage upon the land embraced in the appellant’s mortgage, in which they expressly agreed to pay said notes; that said mortgage was duly recorded in the mortgage records of said county within forty-five days after its execution, and that said Peyton R. Finch has since been insolvent. The amount of the attorney fees is alleged. Prayer that the mortgage be foreclosed, the amount found due be adjudged the prior lien, and for other relief.

A demurrer by the appellant for the want of facts was over[303]*303ruled to this counter-claim, and an answer of four paragraphs was filed. A reply to this answer closed the issues between the appellant and these appellees.

The appellee George W. Finch, as executor of the estate of William Finch, deceased, filed a counter-claim in which he alleged substantially the same facts that were alleged in tbo counter-claim of Douglass, Allen and Cully. In addition thereto he alleged that his testator, by reason of his suretyship, had been compelled to pay upon said notes, at different times, in the aggregate, $725; that his estate was liable for the balance due upon said notes, and he sought a foreclosure for the amount paid and the amount remaining unpaid.

A motion by appellant to strike out this counter-claim was overruled, a demurrer for the want of facts was also overruled, after which the appellant filed an answer of four paragraphs. A demurrer was sustained to the second and fourth paragraphs of the answer, and a reply in denial closed the issues between the appellant and this appellee.

Issues were also formed upon a counter-claim filed by • George W. Drysdale, administrator of Calvin Drysdale, deceased, but as no question arises upon them no further notice will be taken of them.

The issues thus formed were submitted to the court for trial, and a finding was made for the appellees Albert W. Douglass, Avery Allen and Ann Cully, upon their counter-claim, for the amounts respectively due them upon said notes, and for George W. Finch, executor as aforesaid, upon his counterclaim, for the amount his testator had paid as surety upon said notes, as against appellant, the mortgagors, and George W. Drysdale. A finding was also made for appellant for the amount due upon its mortgage as against the mortgagors and said Drysdale. Over a motion for a new trial, final judgment was rendered upon the finding, adjudging the appellant’s lien to be junior and subject to the lien created by the other mortgage.

[304]*304The appellant by the proper assignments of error insists that the court erred, as follows:

First. In overruling the demurrer to the counter-claim of Douglass, Allen and Cully.

Second. In overruling appellant’s motion to strike out the •counter-claim of George W. Finch.

Third. In overruling the demurrer to said counter-claim.

Fourth. In sustaining the demurrer to the second paragraph of appellant’s answer to said counter-claim.

Fifth. In sustaining the demurrer to the fourth paragraph ■of appellant’s answer to said counter-claim; and,

Sixth. In overruling the motion for a new trial.

These assignments of error will be considered in the order of their statement.

The first objection urged to the counter-claim of Douglass, Allen and Cully is that a joint action can not be maintained to foreclose a mortgage executed to secure the several debts of two or more persons. This precise question was decided adversely to appellant by this court in Shirkey v. Hanna, 3 Blackf. 403 (26 Am. Dec. 426), and we are not disposed to depart from that ruling. See, also, Goodall v. Mopley, 45 Ind. 355; Pogue v. Clark, 25 Ill. 308; 2 Jones Mortgages, section 1368. This objection can not prevail.

The next objection urged to this counter-claim is that the •debt secured is not described. The language of the mortgage is this: The condition of this mortgage is that the said Calvin Drysdale and William Finch are sureties on promissory notes to the amount of two thousand dollars, held by Warren Douglass, Ann Cully and Avery Allen, all bearing ten per •cent, interest: Now, if Peyton R. Finch shall well and truly pay said notes at maturity, and save the said Calvin Drysdale and William Finch harmless on account of their suretyship, this agreement to be null and void.”

The appellant concedes that the description contained in the mortgage fits the notes in two particulars: one in the rate of interest, and the other in the fact that Calvin Drysdale [305]*305and William Finch signed the notes as the sureties of Peyton R. Finch. The mortgage also stated the amount secured, and this would seem to be sufficient, as the law does not require a particular, but only a general, description of the debt secured. 1 Jones Mortgages, section 343, and authorities cited.

The appellant, however, contends that the mortgage describes immature notes payable to Douglass, Allen and Cully jointly, and, as the notes mentioned in the complaint were all past due and were not joint notes, they are not within the description given. We do not agree with the appellant in this position.

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Bluebook (online)
84 Ind. 301, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tna-life-insurance-v-finch-ind-1882.