Alper v. Lupoli

The loan agreement of June 3, 1959 constituted a pledge by the plaintiff of both the 500 shares of stock in defendant corporation and the first mortgage on the premises which the corporation owned. Upon default, the plaintiff was entitled to notice from defendant pledgees of the sale of both pledged items and to the opportunity to redeem afforded by article 9 of the Lien Law (§§ 201, 202; see Toplitz v. Bauer, 34 App. Div. 526, 530; see, also, Jones, Pledges [2d ed., 1901], §§ 501, 610). The provision in the agreement that, upon the plaintiff’s default, title to the stock would pass to the…