Goldberger v. Charles Kannel Corp.

Defendant Charles Kannel Corp. (the “ corporation ”) is owner of the property involved in foreclosure action. In 1953 defendant Harrel Holding Corp. (“Harrel”) took a 21-year lease from the corporation covering a portion of the property. At that time, and known to Harrel, there were two existing mortgages against the premises. The first was held by defendant Charles Kannel who controlled the corporate owner and the second was held by plaintiff Goldberger.

There being a default in payment of the balance of principal due on the second mortgage, this foreclosure action was commenced in January,…