The Red Cloud chief., 1878-06-13
nESJssON.
TIE Asles "ssssshes nssssase"
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What 10 knovn - the ALLEN Blsnhst Mor.
gsse Case vss dscided IN the United sta,ss
Court. ~ Dies Mosnes, May ~, BY Judg.
LSve-Judgs Dillon COMMUNICATING aside
eli claims 10 the validity Of The document pur
porting 10 be . mortgage. The dscissoa orders
n N he cancelled, and places the property In
the hands os the assignee of the Alien estate,
for the bcnsat Of the creditors. The opinion
NJ the court 10 . lengthy document, setting
forth ell the potnss of the esse. aod s,vse~ing
the testimony. We eaa only give . brief syn
opsiA. The case IL entitled
civilian A. etsphens, Herman Blennerhss-
setl, sud the Charter Osk Life Insurance
Company Va. Moyt sherman, assignee In
BANKRUPTCY Of r. v. Allen, and n l. Allen
=. equity. In tine Circuit Court Us Dis-
tstrt at Iowa
This Il : biil in equity 70 fcrseioss . mort
ne 'I s : =, ? Al,sS 70 Tie arm q 9,
that arm we're y. y. Allen, the mortgsgor,
wiiiAm A. stephens snd Herman BlennerhAs
sctt The mortgage IL ~ these wordsi-
NEw YoHK, Nov. ~. 1874.
hereby acknoviedgc the receipt Of four
hundred and sixty -n,s thga.and fou! hundred
10 the Cook County National Bsak of Chicago,
fos my account same being made BY Allen,
stephens. a Co, In money, paper snd endswse-
msnts. have srranged with them for adj.
tiOnal advances.
In confederation thereof, ! b.rssy srs., and
conway ~ Allen, Btepbcua a Co., BY way NJ
mortgage and security Tor sueh advances, eli
my. real cststs, ri every kind asA description,
aud wherever situated. B. !. ALIRN.
ThS INSTRUMENT wss IN the came day duly
ackossloiged before . notary public % the
city and county Of New York.
The mortgage vas delivered 10 Stephens and
Wsnnrrhsssett on the day Of NJ date, hut
witbheld by them from record until the 10Th
day 81 January, 1873. On the last named day
II vas fled for record In Cook county, Illinois,
aud on the 18th 81 the same manth recorded In
Polk county, Iowa.
The original bin was fled by WIN. A. Ste.
phens and Herman blannerhasaett, on the 9th
day OF January, 1870, making Il. y. Allen de-
PENDANT. On the sth lay ~ February, Is7S,th
mortgage WAS assigned by Allen, Stephen. 4
Co, Tor 9 valuable consideration, ~ the Char.
Ter Oak Life Insurance Company. On the 2ai
Of April, 1875, Il. r.. Allen was adjudirated q
bankrupt, and IN due course Of law Hoyt sher.
man was appointed assignee Of HE cstate. II
therefore became necessary to make new par
ties, both plaintiff and defendant, 10 the bin.
Accordingly the Charter Oak Life Insurance
Company having, by leave 81 this court, be-
come q party to ibis suit, filed with Stephens
ana blennerhassett n consolidated bill making
Hoyt Sherman assignee, and u. Y, Allen, par
ties defendant. The latter was retained as q
defendant by reason of his claim ~ homestead
TO certain property covered by the mortgage.
There were other pleadings intervening be-
."scm .mo o,.s,ns, ana consolidated Dill
" ~, ""nc.sasa,y 40 STATE.
nc asicnuant sherman answers the bill and
assails the mortgage on several grounds, among
which are the following;
That II was Intended by the parties TO give.
NJ. .nn. ~ ~" III ,act give 10 inc morteagees,
m.'en. P'c''rohee I'D VIOLATION OF the
".nrnSI.p. nav
Instit was Mtchucd by the parties 10 hin
uuL, ue'My n"o ussIauu creditorsi mat W that
emu y vas wI,n,sfiu from registry ana con-
cea'eu ."au Wn'isA the instrument was thus
.un,caIcu, otsPnony ana biennerhsaset ac-
usc,y cngng.u ~ oYtSinlng TOT Tue mortgSgor
,n'.e shu "c,Itiou& circuit, and IN selling ana
.uekoun.,ng nNs cdRnmcrciai paper; ana that
s.c mo.,sMRc ssftheretorc rendered invalid
~ common ihw.
N"u1sc, hautsnen q 20, ana A.. I. Hyde,
W, INC Snnr'er vax titc insurance Company.
o.. 3. rolk WIN Monroc' bisbee q Hall for
i'3St sncrman, ss.lEmee
=, y w." ~. q TT'kni and DsfefoiA 'v'
Judge Love In his opinion says:
The question which We propose IN consider
and decide IL, whether OF not Tho mortgage In
suit can, under the facts and circumstance
established by the evidence, he sustained a.
against creditors At common Law.
The parties 10 this mortgage have given much
conflicting testimony respecting the material
facts connected with Il. Indeed, Il eeema to
be = law OF nature with them IN contradict one
another. Whatever Allen afirms Stephens 4
plenncrhassett deny, and whatever Stephens
h Hcnnerhassctt affirm Allen directly contro.
ysrts. We shall spend no time in The vain ri.
fort TO sift, weigh and reconcile their tcstimo-
ny. II must be obvious 70 any one who has