Palmer v. Guaranty Trust Co.

This is an appeal from an order, denying a petition to intervene in an action of foreclosure. The mortgagee sued to foreclose in the District Court on October 20, 1939, and on the 28th the petitioners moved to intervene on the ground that they were the holders of shares of stock in the corporation which had leased the. property under foreclosure to the mortgagor. Part of the rent in this lease was the payment of seven per cent, upon shares in the lessor held by the petitioners, who argue that the rent so reserved is a lien upon the mortgaged assets prior to that of the mortgage, particularly…