Stuart v. Gay - 127 U.S. 518 (1888)
U.S. Supreme Court
Stuart v. Gay, 127 U.S. 518 (1888)
Stuart v. Gay
Submitted April 26, 1888
Decided May 14, 1888
127 U.S. 518
APPEAL FROM THE DISTRICT COURT OF THE UNITED
STATES FOR THE DISTRICT OF WEST VIRGINIA
When a decree of foreclosure and sale of mortgaged property grants to the purchaser a credit for part of the purchase money, reserving a lien upon the property to enforce its payment, the court may, if the purchaser make default, and no rights of innocent third parties have intervened, order a resale of the property upon a rule to the purchaser to show cause why it should not be done.
The decree of foreclosure in this case conferred upon the purchaser at the foreclosure sale no such right of acquiring the securities of the lower classes to be paid from the fund realized from the sale as would authorize him, as such purchaser, to dispute, in a proceeding in the original suit for foreclosure to compel payment of the amount remaining due of the purchase money, the computations by the master, confirmed by the decree of the court, of the amounts which the creditors of the higher classes were to receive from the fund.