Reliance Elevator Co. v. Zimmer

<p>Abstract of the Decision.</p> <p>1. Judicial sales, § 38*—when question whether indorsement of master’s certificate in blank is legal assignment is immaterial. On a bill by the rightful owner of a certificate of sale of property, which certificate had been delivered to complainant’s attorney for the purpose of procuring a loan from a specified bank, against a sheriff and a subsequent assignee who derived title through an illegal assignment by such attorney, to compel the delivery of such certificate of sale and the payment of moneys received by the sheriff for redemp-" tio-n of such real estate described therein, held that the question whether an indorsement of the master’s certificate in blank constituted a legal assignment was immaterial.</p> <p>2. Alteration of instruments, § 10*—when question of estoppel of principal by leaving instrument indorsed in blank with attorney is not involved. On a bill by the rightful owner of a certificate of sale of property against the sheriff and a subsequent assignee, deriving title through an illegal assignment to compel the delivery of such certificate of sale and payment of money received by the sheriff from the redemption of real estate, where such certificate was turned over to an attorney by the owner for the purpose of procuring a loan, held that the question whether one who has indorsed an instrument in blank and left it with his attorney is estopped to deny the ownership of a bona fide purchaser, was not involved.</p> <p>3. Alteration of instruments, § 2*—what constitutes material alteration of certificate of sale. Where a master’s certificate of sale of property is delivered by the owner to his attorney for the purpose of procuring a loan and contains an indorsement by the owner with the name of a specified bank written just above the indorsement, the erasure of the name of such bank constitutes a material alteration where made without authority of the owner.</p> <p>4. Alteration of instruments, § 14*—when alteration of certificate of sale by attorney is not a mere spoliation. The contention that the erasure of the name of the bank above an indorsement of the owner of a master’s certificate of sale which had been delivered to the owner’s attorney for the purpose of securing a loan is a mere spoliation which does not invalidate the instrument when done by an agent of the party, is without force where it appears that such attorney had no authority to make such alteration and it is apparent from the use of the name of the bank above the indorsement that it was the intention of the owner to limit the attorney’s authority to transfer title only to such bank.</p> <p>. 5. Alteration of instruments, § 14*—when principal is not negligent in leaving certificate of sale indorsed in blank with attorney. The owner of a master’s certificate of sale of property who delivers such certificate of sale to his attorney with an indorsement, of the owner’s name thereof and the name of a bank written just above the indorsement is not negligent in leaving such instrument in the hands of such attorney, although such attorney alters such instrument and makes it payable to himself and by assignment procures money therefor.</p> <p>6. Alteration of instruments, § 15*—what are rights of purchaser of certificate of sale illegally altered. One who purchases a master’s certificate of sale from an attorney, to whom such certificate had been delivered with an indorsement of the owner’s name thereof and the name of a specified bank written just above such indorsement for the purpose of procuring a loan from such bank, procures no title or interest where such attorney erases the name of the bank above such indorsement and inserts his own name and words of assignment.</p> <p>7. Alteration of instruments, § 15*—when decree compelling surrender of certificate of sale illegally altered and assigned by attorney not inequitable. On a bill by the owner of a master’s certificate of sale of property to compel the holder of such certificate who had procured it through an illegal assignment by an attorney of the owner, to which attorney the owner had delivered such certificate with his indorsement thereon and the name of a specified bank written just above such indorsement for the. purpose of obtaining a loan from such bank, to compel the delivery of such certificate of sale, and to compel a sheriff to pay to him moneys received for the redemption of such real estate, held that the decree was not subject to the objection that it did not require the complainant to do equity, since it did not in any way empower the attorney to defraud any one and the loss was due solely to the attorney’s wrongful act.</p>