Page:Federal Reporter, 1st Series, Volume 2.djvu/508

 BimaESS 9. BOÇTHBBIDaB SAVIKaS BAKE. 801 �-was payable on demand, with that rate agreed on, and if that ehould be held to mean that 7 per cent, should be paid until default, and 6 per cent, thereafter, it is meaningless, as there was a default the day after the mortgage was delivered. The parties have acted on this theory and settled àcoordingly. Bosides, the defendants have been prevented from realizing their money wholly by the suits instituted by the plaintiff. �The premmms of Insurance are properly chargeable against the fund. There was a covenant in the mortgage, in the most ample terms, authorizing the bank to insure at the expense of the moi-tgagees, and a condition for the repayment of the premiums. It is true that after the mortgagees had taken possession they insured on their own moneys, and a question tnight possibly have been raised upon the form of policy whether it came within the covenant. The evidence is that they intendod to insure for ail persons interested, and were advised by the agent of the underwriters that mortgagees in possession should insure in this way. Under these circum- stances I do not think that they could have refused, in a court of equity, to account for the insurance money if they had recovered it. and therefore they should be allowed the pre- miums. �It is admitted that a small item for compound interest must be disallowed; that a return premium received since the account was made up must be credited. The only other question is upon counsel fees and expenses, The charge of the mortgagees for care of the promises is disallowed, because it seems that they agreed with the plaintiff to employ a man for this purpose, and did employ him, and his very reasona- ble charges are allowed. �The mortgage permits the bank to deduct aU costs, charges and expenses of suits concerning the premises; and the evi- dence shows that they bave been put to a great deal of charge, rather uselessly, perhaps, and have been obliged to spend money for costs and fees to defend their title. I allow on this account the sum of $450. �Making the changes in the account, in accordance with this opinion, the Southbridge Savings Bank stand charged ����