State Bank of Hardinsburg v. Brown

The court below has construed § 75 (n) of the Bankruptcy Act1 as bringing within the court’s jurisdiction property mortgaged by the debtor as to which, after foreclosure, the debtor’s equity of redemption had expired.2 Because of conflict of decision3 we granted certiorari.

*136Subsequent to the adoption of § 75 the respondents borrowed $2,500 from the petitioner and gave a promissory-note secured by mortgage on their farm in Indiana. In a foreclosure proceeding in an Indiana state court petitioner obtained judgment November 20, 1939, ordering that the property be sold to satisfy the debt. May 25,…