In the Matter of B. F. Dewees, Inc., Debtor, Ida F. Voldow and Minette A. Berns

OPINION OF THE COURT

ALDISERT, Circuit Judge:

The Phoenix Mutual Life Insurance .Company held two mortgages on certain New Jersey real estate owned by the appellants, Voldow and Berns. Each mortgage contained the usual clause assigning any rents from the premises to the mortgagee in case of default in payments by the mortgagor. While appellants still held title to the property, their tenant, B. F. Dewees, Inc., entered into a Chapter XI bankruptcy proceeding, prompting appellants to file a proof of claim for rentals due under the lease. Voldow and Berns, too, found themselves in financial…