Federal Land Bank v. Warner

Respondents gave petitioner a mortgage on their farm lands in Arizona to secure a loan of $7,200 made in accordance with the Farm Loan Act. The mortgage provides that in case of suit to foreclose the mortgagors shall pay a reasonable attorney’s fee to be fixed by the court. And that clause is valid under Arizona law. The borrowers having failed to pay according to their promise, petitioner brought this suit to foreclose the mortgage and prayed that an attorney’s fee of $125 be included in the judgment. Respondents objected to the allowance of any amount on account of that item, the trial…