Bennett v. Worcester County National Bank

This is an action of contract in which the plaintiffs as second mortgagees seek to recover the sum of $12,600 out of the proceeds of a mortgage foreclosure sale by the defendant, the first mortgagee. The case was submitted on a statement of agreed facts and the judge ordered judgment for the defendant. The plaintiffs appealed.

The defendant (Worcester County National Bank, hereinafter called the bank) held a first mortgage on a fifteen acre lot in Spencer owned by the Azniv Realty Trust (Azniv). The mortgage was executed in February of 1962 to secure the payment on August 1,1962, of a $155,000…