80 Iowa 207 | Iowa | 1890
— The proposition is that the instrument executed December 8, and set out in the statement, considered without reference to the mortgage made to plaintiff the day following, must, under the authorities, be regarded as an assignment for the benefit of creditors. There are so many instances in which instruments, denominated “bills of sale” and “mortgages,” are held- to be assignments, where the effect of the transaction is that of an assignment, that the right to do so is no longer an open question. Barring the preferences on the face of the instrument in this case, it is difficult
As showing what is claimed as the intention of the firm and plaintiff in making the instruments, we will state that, before either was executed, they all went to
It is urged that the acceptance by the defendant bank of its mortgage after the execution of the other papers estops it from questioning the validity of plaintiff’s security. Tbe difficulty with the position is that after the assignment the firm was divested of all title to the property, and had no authority whatever to give a valid mortgage. The assignment could only be defeated
With these views, we are not required to consider other questions in the case, and the judgment of the district court is ' Affirmed.