Government land-bank of Berkeley v. Warner, 292 U.S. 53 (1934). Federal Land Bank of Berkeley v. Warner

U.S. Supreme Judge

1. A stipulation in a Farm financing home loan that, if there is suit to foreclose, the mortgagor shall shell out a reasonable attorneys’s charge as solved by court, are good according to the government Farm mortgage operate if good within the county legislation. P. 292 U. S. 54 .

2. the reason for the Farm financing Act is facilitate growers, by mortgaging their own countries, to get debts at cheap, and this also reason is to be observed in deciding what is an acceptable lawyer’s charge in a property foreclosure proceeding. P. 292 U. S. 57 .

Certiorari, 290 U.S. 620, to examine the affirmance of a decree foreclosing a farm loan home loan when the test judge have refused to impose a stipulation for a lawyer’s charge.

U.S. Great Courtroom

Government Land-bank of Berkeley v. Warner

CERTIORARI TOWARDS THE GREAT COURTROOM OF ARIZONA

1. A stipulation in a Farm Loan financial that, in case there are suit to foreclose, the mortgagor shall shell out an acceptable attorneys’s fee are set by judge, are valid beneath the Federal Farm Loan operate if appropriate beneath the state legislation. P. 292 U. S. 54 .

2. the goal of the Farm Loan Act is always to equip growers, by mortgaging their own places, to acquire financing at low priced, and this function will be observed in deciding what’s a reasonable lawyer’s charge in a property foreclosure proceeding. P. 292 U. S. 57 .

Certiorari, 290 U.S. 620, to examine the affirmance of a decree foreclosing a farm financing mortgage where test courtroom have refused to enforce a stipulation for a lawyer’s fee.

MR. JUSTICE BUTLER provided the view from the Court.

Respondents offered petitioner home financing on the farm lands in Arizona to lock in a loan of $7,200 made in conformity making use of Farm financing Act. [Footnote 1] The financial supplies that, in the eventuality of fit to foreclose, the mortgagors shall spend an acceptable attorneys’s charge to get repaired because of the judge. And this term is legitimate under Arizona law. [Footnote 2] The borrowers creating failed to spend based on their unique guarantee, petitioner produced this fit to foreclose the financial and prayed that legal counsel’s charge of $125 be included in the judgment. Participants objected to your allowance of every quantity due to that object, the test courtroom sustained their own contention, plus the great courtroom upheld that part of the decree upon the bottom your number of this type of a fee is prohibited http://www.loansolution.com/payday-loans-ks from the soon after section of § 31: “No land bank . . . shall cost or get any cost, commission, extra, surprise, or other factor not here especially licensed.” 12 U.S.C. § 983.

That development should not be suffered. The work determines assistance between individuals on farm mortgages and investors inside securities secured by all of them. The requirement, by means of the financial supply, that a mortgagor shall carry the expense put-upon the lender by their default are reasonable, as well as in equilibrium thereupon concept.

Into the lack of an ordinary appearance to that particular results, it may not feel used that Congress intended to put upon nondefaulting individuals any an element of the expense of property foreclosure of mortgage loans created by people. The operate will not recommend procedures for property foreclosure, but indicates that county regulations are to regulate. Point 30 directs the land bank administrator to examine the regulations of every condition and to report, among other things, whether, in his thoughts, they truly are including to guard against decrease in case of default. 12 U.S.Code, § 971. It gives that, if examination shall demonstrate that the regulations of every try not to afford sufficient protection, the Farm Credit Administration may declare mortgage loans on secure where condition ineligible. Code, § 972. As well as the petition because of this writ suggests that, except in a few States in which neighborhood laws forbids such deals, most of the mortgage loans taken because of the Federal secure Banking institutions have conditions for attorney’s charges for foreclosures. [Footnote 3] with this it appears that officers recharged by law with the administration of banking institutions have always construed the operate to permit condition legislation to regulate. Our focus hasn’t been also known as to any circumstances where that building was interrogate. Truly eligible to great pounds. United states of america v. Mo. Pac. R. Co., 278 U. S. 269 , 278 U. S. 280 .