Tri-D Acceptance Corporation v. Scruggs

HARWOOD, Justice.

This is an appeal from a decree enjoining Tri-D Acceptance Corporation from foreclosing a mortgage given by Theodis Scruggs,. Floyd Scruggs, and Carl Scruggs to Morris Bros. Construction Company, which company assigned the mortgage and note secured thereby to Tri-D Acceptance Corporation.

The only question involved in this review is whether Tri-D Acceptance Corporation was a bona fide purchaser in due course of the note and mortgage.

The land covered by the mortgage, some 19 acres in extent, was originally jointly owned by Theodis Scruggs and his wife Anne. The wife died in…