Hodge v. Brown
Supreme Court of Georgia
Mortgages. Interest and usury. Title. Before Judge Kibbee. Pulaski superior court. May term, 1887. Mrs. M. C. Brown obtained a rule nisi for the foreclosure of a mortgage on certain land, against two mortgagors.
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Mortgages. Interest and usury. Title. Before Judge Kibbee. Pulaski superior court. May term, 1887. Mrs. M. C. Brown obtained a rule nisi for the foreclosure of a mortgage on certain land, against two mortgagors. One of them pleaded that the note, which the mortgage was given to secure, was usurious in that it stipulated for interest at twelve per cent, per annum, and the mortgage was therefore void; the note being dated January 4th, 1886. The presiding judge overruled the plea (the cause having been submitted to him without the intervention of a jury), holding that usury in a plain mortgage…
1Opinion of the Court
Bleckley, Chief Justice.
Section 2057(f) of the code provides that “all titles made as part of an usurious contract, or to evade the laws against usury, are void.” Section 1954. declares that “ a mortgage in this State is only a security for a debt, and passes no title.” Tided by statute law, the result is, that any security for a debt, which when pure affords the security by passing title, is, when contaminated by usury, void and of no effect. But a security by mortgage, as it passes no title, is not rendered void by the statute. And we know of no law not statutory which requires or…
2Cited by5 opinions
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- Holliday v. Lowry Banking Co.Supreme Court of Georgia · 1893
- First National Bank v. McEntireSupreme Court of Georgia · 1900
- Lowry v. ParkerSupreme Court of Georgia · 1889
- Valdosta, Moultrie & Western Railroad v. Valdosta Bank & Trust Co.Supreme Court of Georgia · 1916