Merchants' & Planters' Bank v. Citizens' Bank

Appellant and appellee each sought to foreclose a mortgage on the same land, and this appeal only involves the question of priority of liens.

Appellant first seeks a reversal of the decree holding that appellee had a prior lien on the land, on the ground that appellee’s mortgage is barred because there was no compliance by it with the provisions of § 5399 of Kirby’s Digest, now § 7382 of Crawford & Moses’ Digest. In construing this statute, in Morgan v. Kendrick, 91 Ark. 394, 121 S. W. 278, 124 Am. St. Rep. 78, the court said:

“The effect of that statute, as to strangers to the transaction, is…