United States v. The Golf Club Company

THORNBERRY, Circuit Judge:

In this case the United States held three security deeds on land located in Georgia and mortgaged by the appellants. When the appellants defaulted on the indebtedness underlying these deeds, the United States conducted foreclosure sales at which the property was bid in by officials of the Federal Housing Administration.

Under Georgia law, all foreclosure sales must be confirmed by a court before the creditor may sue the debtor for any deficiency resulting from the sale. Ga.Code Ann. § 67-1503-04 (Supp. 1969). 1

The obvious purpose of this statute is to protect debtors…