Caraccia v. Schoenberg

Plaintiff, after rescission for alleged fraudulent representations in the purchase of a second mortgage, brought this action at law to recover $8,000 paid to defendants for a mortgage in that amount on real property in the city of New York owned by defendant Lena Schoenberg.

Defendants’ amended answer contained a counterclaim alleging that the mortgage was void as a usurious loan, and praying that the mortgage and the accompanying bond be declared void for usury, be delivered up by plaintiff to the defendant Lena Schoenberg, and discharged of record. Defendants’ pleading, however, contained no…