The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1908-12-18
COURT DEALS OUT
ANOTHER BLOW TO
T. NJ. CAMPF|ELO
Holds That Peoples Loan and
Trust Company Has Right
To ForecIose Mortgage on
Colonial Building.
SUIT BROUGHT BY
JAMES P. GOODRICH
Several Notes Were Held by
Trust Company and Failure
To Pay One Brought on
TrOubIe-Wife Protected.

The celebrated case of the Peoples
Loan & Trust Company of Winches-
ter, VS. Edwin NJ. Campfield, of this
city. which involved the ownership of
the Colonial building and annex. was
decided by Judge Fox, of the Wayne
circuit court today. The court holds
the plaintiff is entitled to foreclose a
mortgage of $4,000 held by it on the
property. An order for the sale of the
property may be had at any time.
The suit has been in litigation since
last March. At the present time the
property is in the hands of receiver
and the courts action does not inter-
rupt the recevership. The court
holds that the First National bank,
which is named as one OF the defen-
dants, is entitled to the rentals and
income from the Colonial building un-
til note it holds against Campfield
is satisfied. Soon after the receiver
was appointed for the building it was
structure has not been rebuilt pending
the decision of the court.
CampfieId's Troubles.
1t will be remembered the State
cancelled the the contract it had with
Campfield for the construction of the
Southeastern Hospital for the Insane,
located at Madison, Ind. 1t is elaine d
by Cam; eld's friends that the con-
tractor would have been able to meet
his notes on the Colonial building
had not his troubles in connection
with the hospital taken away this
source of revenue.
Suit was instituted against Camp
and attorney for the Peoples Loan &
Trust Company. When Campfield' S
note for $1,000 came due December l
of last year, Goodrich saw the money
could not be secured in cash. He
made an arrangement with Campfield
whereby he would take chattel
mortgage on the machinery and per-
sonal property of Campfield, that was
used in the construction of the insane
hospital He, also, was to take a
mortgage on a farm in Ohio and to
permit the debt to run until enough
had been realized to pay the principal
on the mortgage.
The day after Goodrich took the
mortgage on the farm he had it enter
ed for record and found that deed
had ben recorded the day before,
deciding the farm to Campfield' s
mother and not making provision for
any mortgage. Campfield's mother
wrote to Goodrich and demanded the
release of the mortgage. Under the
Ohio law, her warranty deed had been
made without reference to the mort
gage, so the mortgage was valueless.
Goodrich Investigates.
Goodrich made an investigation of
his chattel mortgage on the personal
property of Campfield and found it
was claimed by the owners. who said
they had sold it to Campfield condi-
tionally and held liens on it. Good
rich took the position that Campfield' S
credit was lost and refused to give
Campfield credit Campfield made no
other offers of settlement.
Under the terms of the contract, the
default in the payment of one note
made all others come due. The de-
fendant entered a plea of abatement
in the Wayne circuit court to show
there had been no default. The court
held there had been and ordered the
trial of the case on its merit. 1t was
(Continued on Page Five.)