Rusher v. Bunker

Plaintiffs brought this action for foreclosure of a mortgage on real property owned by defendants Bunker. They appeal from the judgment of foreclosure, arguing that their mortgage was entitled to priority over a trust deed held by Benjamin Franklin Federal Savings & Loan Association (Benjamin Franklin).

On July 31, 1979, the Bunkers gave plaintiffs three promissory notes, secured by a pledge of stock and by a real property mortgage. The mortgage, which was captioned “Second Mortgage,” applied to several lots in two tracts. Only one of those lots, lot 3, is involved in this appeal. Although the…