Jerome v. McCarter - 94 U.S. 734 (1876)
U.S. Supreme Court
Jerome v. McCarter, 94 U.S. 734 (1876)
Jerome v. McCarter
94 U.S. 734
1. Prior mortgagees are not necessary parties to the bill of a junior mortgagee which seeks only the foreclosure or the sale of the equity of redemption.
2. Neither the mortgagor nor his assignee in bankruptcy can object to the order in which the priority of valid and subsisting liens on the mortgaged premises is fixed by the decree of foreclosure.
3. The subsequent bankruptcy of the pledgeor of a negotiable instrument does not deprive the pledgees of their right to dispose of it upon his default.
4. An objection that leave was not given to file the bill of foreclosure -- the mortgaged premises being at the time in the possession of a receiver appointed in a former suit in the same court -- if, under any circumstances, available, will not be sustained if made a year and a half after the bill was filed and when the party objecting had in the meantime appeared, answered it, and cross-examined the witnesses of the complainant.
The case is fully stated in the opinion of the Court.