Case Name: In the Matter of the Liquidation of Bond and Mortgage Guarantee Company. In the Matter of the Petition of Nathan Lifshutz and Elsa Lifshutz, Appellants, Holders of a Certificate in Bond and Mortgage Guarantee Company Certificated Mortgage Issue Known as Guarantee No. 181,626 and Covering Premises 6 Franklin Street, Garden City, Long Island, for an Order Directing Louis H. Pink, as Superintendent of Insurance of the State of New York, as Liquidator of the Bond and Mortgage Guarantee Company, and Mortgage Commission of the State of New York, Respondents, to Account for and Pay Over to All Certificate Holders in Said Issue the Moneys Deducted by Them for Servicing the Said Mortgage Over and Above the Actual Cost of Servicing the Same
Court: New York Supreme Court, Appellate Division
Jurisdiction: New York
Decision Date: 1939-04-17
Citations: 256 A.D. 1089
Docket Number: 
Parties: In the Matter of the Liquidation of Bond and Mortgage Guarantee Company. In the Matter of the Petition of Nathan Lifshutz and Elsa Lifshutz, Appellants, Holders of a Certificate in Bond and Mortgage Guarantee Company Certificated Mortgage Issue Known as Guarantee No. 181,626 and Covering Premises 6 Franklin Street, Garden City, Long Island, for an Order Directing Louis H. Pink, as Superintendent of Insurance of the State of New York, as Liquidator of the Bond and Mortgage Guarantee Company, and Mortgage Commission of the State of New York, Respondents, to Account for and Pay Over to All Certificate Holders in Said Issue the Moneys Deducted by Them for Servicing the Said Mortgage Over and Above the Actual Cost of Servicing the Same.
Judges: 
Reporter: Appellate Division Reports
Volume: 256
Pages: 1089–1093

Head Matter:
(April 17, 1939.)
In the Matter of the Liquidation of Bond and Mortgage Guarantee Company. In the Matter of the Petition of Nathan Lifshutz and Elsa Lifshutz, Appellants, Holders of a Certificate in Bond and Mortgage Guarantee Company Certificated Mortgage Issue Known as Guarantee No. 181,626 and Covering Premises 6 Franklin Street, Garden City, Long Island, for an Order Directing Louis H. Pink, as Superintendent of Insurance of the State of New York, as Liquidator of the Bond and Mortgage Guarantee Company, and Mortgage Commission of the State of New York, Respondents, to Account for and Pay Over to All Certificate Holders in Said Issue the Moneys Deducted by Them for Servicing the Said Mortgage Over and Above the Actual Cost of Servicing the Same.

Opinion:
The share which petitioners purchased in the bond and mortgage was $2,700 with interest at five and one-half per cent. The total of their share in the principal of the bond and mortgage was $2,700 and their total share in the interest was five and one-half per cent instead of the six per cent which the mortgagor was required to pay. They have received that share in full, both as to principal and interest, and, therefore, are entitled to nothing more. The extent of the purchase here was similar to that in Matter of Bond & Mortgage Guarantee Co. (243 App. Div. 368). There is nothing to the contrary in Matter of Morgan (277 N. Y. 203).
Lazansky, P. J., Carswell and Close, JJ., concur; Johnston, J., dissents and votes to reverse and remit the matter to Special Term, with opinion; Hagarty, J., concurs with Johnston, J.