The Brattleboro daily reformer. (Brattleboro, Vt.) 1913-1955, 1921-03-18
.UNCONSC|ONABLE,
ASSERTS CARHUFF
Emphatic in Reference to
10 Per Cent Fee i'm
Foreclosure
FILES ANSWER TO
MRS. M'ELHINNY
Mrs. Carhuf Also Files Answer-Deny
Most of Assertions Made i'm Complaint
Note and Mortgage on InwOOd Inn
Property Involved.


i Property Involved.
i Denying most of the allegations set
4 forth in a foreclosure petition brought by
! Mrs Anna c. McElhinny of BrattlebOro,
answers to her petition have been filed
: in the county clerks Office by f. p. Car
l huff and his wife, Mrs. Fannie c. Carhuff.
/ They use special emphasis in denying the
petitioners claim that the defendants
agreed To pay an attorneys fee of 10 per
cent of the amount due on the mortgage
note. on principal and interest, in case Of
collection through default of payment
Mr. Carhuff characterizes such a charge as
i IAN excessive and unconscionable pen
atty" and declares that the mortgage deed
! accompanying the note contains no such
provision. The case has been docketed
for Il hearing before the chancellor at the
April term of the Windham county court.
J Mr.. and Mrs. Carhuff, it will be remcm-
tbered. bought last year of Mr.. and Mrs.
McElhinny the property ON Putney road
. which they fitted up for a summer hotel
known as the Inwood Inn and which they
Iconductcd last season. Harvey, Maurice
X Fits acting as counsel for Mr.. and Mrs.
+ NIcElhinny. The property formerly was
Il part of the T.. X. G0odall estate.
i Late in January Of this year Mrs. Me
/ tElhinny. through the office of Harvey
Maurice x Fits, brought a petition ask
ing that the equity of redemption in the
! InWood Inn property be forecloSed, alleg-
ing a violation of the terms of a prOmis-
/ sorry note for $40 800. and the answers of
Mr.. and Mrs Carhuff have just been filed
| through the office of Attorney y. F.
! Schwenk. i
/ 1t is stated by the defense that Mr. and
Mrs. Carhuff probably would redeem the
mortgage and note and reopen Inwood
| Inn if the court disallowed the 10 per
cent attorneys fee.
| Mrs McElhinny AYERS that on Nov. 3.
! 1920, Mr.. and Mrs. Carhuff executed to
her a mortgage deed conditioned for the
payment of pr0miSSory note for S10.3 800
executed June Il. 1920, by f. Z. Carhuff
payable to Mrs. McElhinny or order on
demand with interest semi-annualiy on
June 1 and Dec. 1 each year. and further
promising to pay an attorneys fee OF 10
+ per cent of the amount due thereon for
Ecollection in case Of default in the pay
ment of the principal or interest. She
{ asserts that on Dec. 10. 1920. she de-
manded payment of the note and that Mr..
Carhuff neglected and refused to pay it.
! She asserts that he has defaulted in the
payment of the principal, the interest and
the attorneys fee.
I Mrs. Carhuff in her answer admits that
/ Nov. 3 1920. she signed and executed a
mortgage deed to Anna c. AIcElhinny to
secure the sum of SS. 800 of certain land
1 in BrattleborO. but did not sign the mort
gage note; that the premises in the mort
gage described were conveyed TO her and |
Mr.. Carhuff on June II, 1920; that they
have since been owned by herself and
| husband and were 80 owned when the
mortgage note was given. She admits
that the mortgage was conditioned for
the payment of a prOmiSSory note for
$4,000 dated June II, 1870. and given
/ by Mr.. Carhuff to Mrs. McElhinny, and
/ that the note was payable on demand with !
interest Semi-annualy on June l and Dec. |
/ l. and she AYERS that there was paid on
/ the note on or about Nov. 3 1920, the
7 sum of $1,000.
| 1t is denied by Mrs. Carhuff that she
signed the note or any paper agreeing to
ipay an attorneys fee of 10 per cent of
the amount due thereon for collection in
case of default of payment of the principal
Tor interest. and she AYERS that no promise |
of the kind as set forth was contained in
the mortgage deed signed by her. that
There was no reference to n 10 per cent |
I fee in the mortgage deed, and that her
attention was not called to it and she
4 had not then. nor has she since, had any
I knowledge that she in any way promised
/ or obligated herself to pay an attorneys
/ fee of 10 per cent or of any other amount
on the mortgage or note as penalty for
nonpayment, as usury, or in any other
| form.
| Mrs Carhuff declares that she has no
| personal knowledge that Mrs. MeElhinny
did on Dee. II, 1920. demand payment of
the note. nor has she knowledge that Mr..
I
| note. She says she has no personal
! knowledge that Mr. Carhuff defaulted in
! the payment of the note. She denies that
there is due the petitioner an attorney
1 fee of 10 per cent and denies that the
sum of S10.50O with interest is due the
| petitioner. She asks for a hearing on the
| petition and answer that She may contest
the claims of the petitioner in regard to
4 the amount due on the note. the interest
thereon and the attorneys fee of 10 per
icent.
/ In Mr.. Carhuff's answer he SAYS the
note of S10,500 of June II. 1920, was not
read to him and that he did not read it
that it was handed to him by Mrs. Nc
Elhinny's attorney. who informed him that
it was the note that went with the mort
gage; that the mortgage signed and exc
cuted by him was read TO him. and he be-
Ilieved when he signed the note that it
was of the same tenor and effect as in the
mortgage described; that he did not know
the note contained n promise to pay an
attorneys fee of 10 per cent of the amount
due thereon, for collection in case of de-
fault of payment of the principal or inter
lest: and that he did not know the note
EcOntained such clause or promise until
he read copy of the petition of Mrs.
EAIcElhinny.
This defendant ayers" Mr.. Carhuff's
answer continues. that if said note con-
tains clause or promise as in said peti-
tion set forth, it is not the note in said
icondition described, and that said clause
Eof 10 per cent is an excessive and I'M
lconscionable penalty attempted to be inn
IpoSed upon him for nonpayment of the
amount OF said note or the interest
thereon.
He denies that there is now justly due
and owing to the petitioner an attorneys
fee of 10 per cent of the amount of the
note; and he denies that there is due on
the note S1O.500 with interest thereon,
stating that there was maid on tha nota