Easton v. German-American Bank - 127 U.S. 532 (1888)
U.S. Supreme Court
Easton v. German-American Bank, 127 U.S. 532 (1885)
Easton v. German-American Bank
Argued May 4, 1888
Decided May 14, 1888
127 U.S. 532
APPEAL FROM THE CIRCUIT COURT OF THE UNITED
STATES FOR THE SOUTHERN DISTRICT OF NEW YORK
A creditor whose debt is secured by a deed of trust of real estate to a third party as trustee may purchase the property at a sale by the trustee under the terms of the trust, and if he credits the debtor on the mortgage debt with the amount of the purchase money, it is in fact and in law a money payment to the use and benefit of the debtor.
The plaintiff in error acquired by the purchase from the assignee in bankruptcy no interest either in the debt of the bankrupt to the defendant in error or in the real estate conveyed in trust to secure it.