Hamlin v. Nace

The opinion of the court was delivered by

Dawson, J.:

This case turns on the question which arises

on the default of a loan agent at whose office .payments of interest and principal on a mortgage are to be made, when such agent fails to transmit to a mortgagee the moneys paid to him by a mortgagor for the reduction of the mortgage indebtedness.

In 1904 William Nace mortgaged his farm to the plaintiffs,residents of New York, to secure a loan of $2000 payable in five years. The loan was procured through Wm.’ T. Sinclair, who was for many years a loan agent in Lawrence. The interest was regularly…