Summary

Edward Douglass White Lynch v. Murphy — Opinion of the Court

That notice to Pippert, actual or constructive, was an element essential to the survival of the lien, as against Pippert, is admitted in the answer of Mrs. Lynch, expressed by the averment that Pippert had notice of the existence of the supposed deed of trust. As that allegation was not established by the evidence, but the contrary was proven, it follows that the claim of a lien or a mortgage upon the property, in favor of Mrs. Lynch, has not been made out.
Source: Wikisource

Edward Douglass White Lynch v. Murphy — Opinion of the Court

Pippert instituted and prosecuted his suit for cancellation of his conveyance against all persons known to him as claiming an interest in or incumbrance on the property. He did what the law required, in order to make his judgment binding upon all the world; and, when the court divested Mrs. English of all her interest in the property, appellant's alleged rights, acquired through her, not having been legally recorded before judgment, were divested by the decree as effectually as if appellant had been a party.
Source: Wikisource

Edward Douglass White Lynch v. Murphy — Opinion of the Court

But a bona fide purchaser for value of property subject to an equitable mortgage, without notice of such mortgage, takes the property free of the equitable mortgage. Jones, Mortg. p. 139, § 162, citing Watkins v. Reynolds, 123 N. Y. 211, 25 N. E. 322. Watkins v. Reynolds was a case where a cestui que trust for life executed a mortgage in fee on the trust estate, and after her death the remainderman in fee executed, under seal, an unattested paper, covenanting, for sufficient consideration, that the mortgage should continue to be a lien on the land.
Source: Wikisource

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