Moody v. Pacific Steamship Co.

This is an appeal from an order granting a motion to discharge a writ of garnishment.

In January, 1925, respondent issued its series of 6%% gold bonds in the aggregate principal sum of five million dollars, with interest coupons attached. To secure the bonds, a mortgage, or deed of trust, covering a fleet of vessels and their equipment, was executed by respondent. Five of the bonds, aggregating-in principal amount five thousand dollars, were purchased by Pacific Commercial Bank of Seattle, and became due and payable January 1,1931.

On October 23, 1931, after the bonds became due, the bank…