People ex rel. Ashwood Realty Corp. v. Sexton

The appellant was the owner of property 400 East Fifty-eighth street. Respondent holds a second mortgage on the property. In February, 1933, the appellant (the owner) executed an assignment of rents of the property to the respondent, the second mortgagee. The same agents continued to manage the property and, out of the rents collected, paid the real estate taxes for the second half of 1932 and part of the taxes for the first half of 1933.

In January, 1934, the appellant (the owner) executed an assignment of rents of the property to the first mortgagee. The same agents continued to manage the…