Federal Financial Co. v. Holden

Benham, Chief Justice.

To secure an indebtedness, Citizens Bank accepted a security deed from three brothers for property which a title examination showed to be owned jointly by them and one other person. Citizens Bank subsequently failed and the Federal Savings and Loan Insurance Corporation was appointed receiver. Appellant Federal Financial Company eventually became assignee of the security deed and the note it secured. Because the note was in default, Federal Financial foreclosed on the interest the brothers had conveyed by the security deed. Appellee Holden, who had done some work on the…