Iser v. Herbert Marks Building Corp.

The plaintiff’s consolidated mortgage is subordinate to the lien of the defendant Hurwitz for advances made pursuant to the building loan agreement and mortgage for $54,000, executed and filed before the plaintiff’s mortgage. The building loan agreement provides that the first advance of $8,640 shall be made at the time of the execution of the agreement. Other advances were to become due at later stages of the progress of the work, but the lender might at his option make any advances before they were due. At the time of the execution of the instruments the lender delivered checks to the order…