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TREDWAY V. SANGER, 107 U. S. 323 (1883)

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U.S. Supreme Court

Tredway v. Sanger, 107 U.S. 323 (1883)

Tredway v. Sanger

Decided April 23, 1883

107 U.S. 323


The endorsee of "a promissory note negotiable by the law merchant," which the maker secured by a mortgage of land to the payee, is not precluded from maintaining a foreclosure suit in a court of the United States by the fact that the maker and payee are citizens of the same state.

Tredway and Kettelman, citizens of California, having made two negotiable promissory notes to McLaughlin, a citizen of that state, executed, to secure the payment of them, to him a mortgage upon lands there situate. The notes were assigned to Sanger, a citizen of Pennsylvania, who filed in the court below his bill of foreclosure against Tredway and Kettelman. They set up by plea that the assignment of the notes was merely colorable in order to give that court jurisdiction. The court found that the plea was untrue and insufficient. A decree was rendered in favor of the complainant reciting that there was due to him the amount of the note, ordering a sale of the mortgaged premises to satisfy the same, and providing that if the proceeds of the sale be insufficient to pay the debt, interest, and chanroblesvirtualawlibrarychanroblesvirtualawlibrary

Page 107 U. S. 324

costs, that "the clerk should docket a judgment for the amount of such deficiency," and execution be issued against the defendants therefor. They thereupon appealed.

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