The daily crescent. [volume] ([New Orleans, La.]) 1848-1851, 1849-07-03
[oonel'ion . Decision. :, ~ Tern fhs csarli
Supreme Count of Ioulslaaa.
Condensed DeeisiOns-NEw onLrAns. june 5. 1879


Condensed Decisions-NEw ORLEANS. June s. 1S49.
Where by act on the 2sd May 1886 ard recorded on the
Both May following, sold to the improvement Bank
tam real estate, payable cash, aud stipulated
that the Bank might within given time, elect to
pay the balance or to furnish bonds Therefore with mort
gage and the Bank elected 10 furHh bonds with mort
gags and did SO by act of March 1884, recorded March
g. 1886, not in the current register Of the Office
but upon the margin Of the act Of May %
1885 and A. on the 18th April. 1870 sold the bonds 10
the Citizens Bank which took subogaiion By notaral
act which also recorded the margin of the act Of
May % 1885 held that other creditors Of the Improve
ment Bank thereby affected with notice. and that
the mortgage thus acquired BY the Citizens Bank came
within the pTOvisionsO Of the act Of 1898 amending Art
1888 G. c.. and did not require transcription. tChef
Justice Enstis and Justice ElideI, dssentng)....
When by an Of the Legislature the capital off bank
j. exempted from taxation, the exemption does apply
the real estate Of the bank. The State has prv
lege for its taxes for two only Where interest
isdue on the notes Of bank it will not be allowed from
the time it suspeRds spece payments but from the time
the bank put in default by demand the part Of
the CREDITOR The proviso at the end Of the 7lh section
of the act Of 1870, relative TO paving bills and due
the Municipalities Of New Oreaus applies othe paving
bills only and does not limit the privilege for taxes
two years
The NEW ORLEANS IMPRovEMENT AND BAsKNa
COMPANY. praying for surrender Of is charter THE GEN
ONE, TaE CITIzEEs' BASK and Others opponents and
2sd Of May 1880 Dominique segheEs sold to be improve
for the Of 500 co. part Of me price was pad ID
|
satisfaction thereof her bonds that amount, bearing
accordingly the 18th Of March, 1850 be bonds were
They were paTap6ed % Identity them with The act and de-
The so OF sd of May 1885, was daily recorded on The
c9reat register OF The Recorder Of Mortgages on the 10th Of
saes TIE 5ond & 10 a eeoss o s II G &c
same month"; not IN the current register and in the OTer Of
sne PA upon the maEginof the fecod Of the act Of I'D
On toe 24th Of April 1870 seghsn sold the bonds to the
mix
and subrogaton TO the mortgage given them by
Mortgages for recording and he did accordingly record
memorandum Of IT, not in the register, the order
Nay is5 and following the record Of the act Of 2ist Of
DISPOSITIONS were made by several Of the creditors Of the
Improvement and Banking Company the final abea9 Of
that Institution and the appeals pre- ened By this
record have been taken fom the judgments rendered on
The most Important error which orr attention is DIRECT
e and claim TO be paid out of the proceeds Of the neal es
"a tos oey auege mat te District Cont erred e gying
s p'seeaenee 70 me mogage o. the Czsas Bank On tae
In 1913 this controversy arose between the Citizens Bank
aNd the note holders, each eontendng for priority in rank
as mortgages the properly sold BY Seghes The note
holders asge that the Only valid inscription that made
the order OF is date May 1885 that the eauent
ssfpnon having been made il The margin Of this though
bound 70 look more than Ten back from l515. The
ing Of The act Of S6rosaaon Of he i4 Of April 1870 Mas
new nd later inscnpon BY which rev creditor gave
creditor competent to make inscription OF cubic act
debtor required therein that the article 1856 Civil Code
egqns mortgages 70 be recorded n the order Of their date
sect9Ig . me Igeosdsg They father THAT
Under the provisions Of an Of 1883, amending afo
The District Coun dsmhsed tbs opposiion and recog
nlzed the light Of mortgage claimed BY the Citizen Bank
DO not think that he words used in the statute were in
tended TO mt is Application either TO STOCK mortgages Or
ois g..ea Ieety 70 NE ptop y otnks y 2, cong n'
vioene 70 % CONSIDER All mortgages IN their lay9
made by anbenije set and ed 6eTe the law sBie
similar contracts TO be recorded this affected the opponent
with notice without inscription the books Of the
alienation 1t matters not, therefore, whether the mem
oIandum Inscribed p the office Of the recorder Of mortgage
was detective as an Inscription, recorded out Of lis pOpe
place IL was al least notice Of the subOgaton to the
coer and under the provisions Of the act OF 1913 he eoul
no longer cancel the mortgage. After the subogaiou
the CItize9s Bank in the manner already stated This NOR
Stood under the Of 1913, in the position
m9Ttgages against husbands, tutors and curaiors.
That the LEGISLATURE ntended the reserved Inscriptions
continue in force cannot before any rule of construction
admit q doubt THIS legislation no more impaiIed Il
obligations OF The contract between the bank aud the hold
es c its circulation than all the other exceronal law
obieatious RseistTy y paIy nsd XIV sI
OF the Legislature who may at all times dispense with eil
lam Ofopinlon that transcription wssnecessary to pr
serve the rank OF the mortgage OF the Citizen Bank.
In regard 20 the points in the appeal taken by the Citizen
Bank the nineieenth section of the chatter Of the Improve
Of the company shall be exempt from taxation The tax
claimed were not levied upon ne capital stock They a
bound 10 pay We concur with the Judge of the Dstn
r. First Municipality has privilege for due them an
that the proyso at the end Of The section limiting ther pHy
2, In Ieauon 70 the appeal taken by the Commissioners
lowed by the charter OF Bank when supends specie pa
menis not due from the time Of suspension but ouly 10
judgment must be amended far lit allows interest II
D, The appea taken BY The General Council from the Dstr
d Cont dsallow9g privilege for The taxes dine them,
The Court being equally divided on the oppusition Of
Corning Co to The mortgage claim OF the Citizens Ban
O. ordered thai the lgdgmeu OF the District Court ON III
opposition stand affirmed On the oPposio9s the jUdgme
~ IS ame9ded according to this decision and Iemandd
ii Afterwards on an spplcat for reheang by the
- orney Of the General Council and with the of Il
h. the General Council privilege for the of year Si
the other taxes of that Council to be ranked Ordna
OF Opiaioa Qf nudge SiideIf this were contest bewes
ig mortgage the bonds given to Sea he's
haze been to third persons for want Of einscrpo
The policy OF the law reqnirng inscriptions to be
every Ten years and dispensing he public om searching
cannot concur in the Argument that the Recorder mi
adopt his own mode OF keeping hls books and that part
nd understanding his own books viii SO make As TO include
)n cores ceftifeate bnf has right to 20 and INSPECT
e books 6@ssf q G. s58I Act Of iss5 g in MAXI
more than ten years DO not wish to be understood as
- ing that mortgage fully inscribed in the book Of the "
q, lSO although the actual date of its inscription IN
W ls4 would be Intellectual ab Ho against other
poets would protect the party until the 1850 bit VIII
be the mortgage book Of 1910 became supeaRnnated by
rs lapse Of ten party searching is not bo9nd to look
Of that POOH SO as as onaIg megags eIed or are &C
for objeetof he transcription Is 10 dispense om searching me
IRA than ten yeats back.
N II, was said in the case Of Shepherd, TeinseHpti
he because Il does not in itself contain description Of
ed mortgaged properly but merely references 70 the deer
ia ton IN an antecedent inscription in January 1896 aJDru
defective transcription in the book OF 1885 upon the m
oss gin Of act inscribed in 1885 must be held OF effect
put le4s The next inquiry is whether the Citizens Bank
W. subr0gee OF the mortgage given by the improvement Ban
~ stands Qaoad that mortgage gu the same footing an 81
M nary peRou
to In considering Of the interest of the State the
ne, p"e Ssns is, AZ Veention n fbs fsveI SySIs
rho Of 1872 entitled An act to amend article 1888 O."
an this statute enac ed that the article be amen
-; that the rule requiring the transcription OF mortgages at
is expiration Of ten years from date Of their registry, shall
new apply 70 the mortgages which have been may be ga
70 BY the Stockholders Of the various property banks OF
the Sse. y y pS, S. obvious @ ~. R S % bsS ny
the Is the case aided BY The Act Of 1873 entitled An Ao
ing amend 1888 Of the Civil Code ~ BY this statute anu
md y given the Recorder OF Mortgages to cancel nse
I lions hat have existed for ten yeaIs. without IeneWa