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First Nat. Bank v. Gurnett

Supreme Court of Iowa
Nov 20, 1928
221 N.W. 958 (Iowa 1928)

Opinion

November 20, 1928.

MORTGAGES: Assumption and Agreement to Pay — Consideration — Proof — Sufficiency. Consideration for an agreement to pay an existing mortgage on land is prima facie shown by proof (1) that the grantee accepted a deed which recited such agreement to pay "as part of the consideration" for the land, and (2) that he went into full possession under such deed.

Headnote 1: 19 R.C.L. 380.

Appeal from Webster District Court. — G.D. THOMPSON, Judge.

Action at law, to recover against the defendants, as grantees in a deed wherein the grantees assumed and agreed to pay a mortgage. The case was submitted to the district court upon a stipulation of facts, and a judgment was entered for the defendants. Plaintiff appeals. — Reversed.

Kelleher Mitchell, for appellant.

Robert Healy, for appellees.


The defendants were joint grantees in a deed of conveyance of certain land. By the terms of such deed they assumed and agreed to pay, as a part of the consideration, mortgages on the land conveyed, to the amount of $19,000. One of the mortgages so assumed was for $12,000, and was owned by the plaintiff. Upon the foreclosure of plaintiff's mortgage, the security was appropriated, leaving a deficiency of approximately $2,000. To recover the amount of such deficiency, this action was brought. The case is closely related to that of First Nat. Bank v. McDonough, 205 Iowa 1329. The mortgage foreclosed in the cited case was one included in the same assumption clause and in the same deed as is involved herein. The mortgage in the case at bar was a first mortgage, whereas the mortgage in the cited case was junior thereto. Our holding in the cited case is decisive of the case at bar. Every question presented herein was ruled in the cited case. We have no occasion, therefore, for further discussion. Pursuant to our holding in that case, the judgment of the district court herein must be reversed, and it is so ordered. — Reversed.

STEVENS, C.J., and FAVILLE, KINDIG, and WAGNER, JJ., concur.


Summaries of

First Nat. Bank v. Gurnett

Supreme Court of Iowa
Nov 20, 1928
221 N.W. 958 (Iowa 1928)
Case details for

First Nat. Bank v. Gurnett

Case Details

Full title:FIRST NATIONAL BANK OF WINDOM, Appellant, v. THOMAS F. GURNETT et al.…

Court:Supreme Court of Iowa

Date published: Nov 20, 1928

Citations

221 N.W. 958 (Iowa 1928)
221 N.W. 958