Hand v. Kemp

Under the conditions shown by the record, the plaintiff, as transferee of a nonnegotiable note secured by mortgage, was entitled to foreclose the mortgage so soon as it was in default, and his note was entitled to priority of payment as against the other notes retained by the mortgagee. Knight v. Ray, 75 Ala. 383; Brewer v. Atkeison, 121 Ala. 410, 25 South. 992, 77 Am. St. Rep. 64.

But, since the note was nonnegotiable, being for the payment of cotton only, the maker—the mortgagor—was entitled to notice of its transfer; and if, without such notice, he paid the note and discharged his…