116 N.J. Eq. 344 | N.J. Ct. of Ch. | 1934
This is a suit to relieve the complainants from a deficiency judgment entered in the supreme court after a mortgage foreclosure. Complainants executed a bond and mortgage on February 2d 1925, to Rudolph Mylius, payable three years after date. About two months later complainants conveyed the mortgaged premises to Isabella S. Hubschmidt. The deed of conveyance contains no statement that Mrs. Hubschmidt assumed the mortgage indebtedness, but does recite that it was subject to the mortgage executed by complainants. Four years afterwards, the mortgagee assigned the mortgage and the assignee in turn shortly thereafter assigned it to William Zipper, the defendant herein. On the same day Zipper extended the date of payment of the mortgage, which was already overdue, for approximately two years. In 1932, Zipper foreclosed the mortgage, making the present complainants parties and at the ensuing sheriff's sale bid in the premises leaving a deficiency for which he afterwards secured judgment in the supreme court, collection of which judgment is now sought to be restrained.
Where a mortgagee, at the request of a grantee of mortgaged premises who has assumed payment of the mortgage, extends the time of payment without the knowledge or consent of the original mortgagor, and where as a result of this the security is impaired, the original mortgagor is entitled to be relieved on his bond. Reeves v. Cordes,
In the absence of this necessary element, the relief prayed for must be denied and a decree will be advised accordingly.
