Page:Federal Reporter, 1st Series, Volume 4.djvu/278

 264 FEDERAL REPORTER. �E. Scammon; thetwo defendants last named being daughters of the defendant J. Y. Scammon. The mortgage oridnally covered lot No. 5, in blook No. 11, in Fort Dearborn addition to Chicago, and was made to secure the payment of $30,000 and interest. It is admitted in the bill that in 1867 the sum of $10,000 was paid to apply on the principal, and it is alleged that the balance of the original principal, namely, $20,000, with interest, remains unpaid, besides certain sums of money paid by complainant to redeem the mortgaged premises from tax sales. Defences have been interposed by the defendants Florence A. D. Eeed and Arianna E. Scam- mon, and the case has been heard upon their exceptions to the report of the master to whom the cause was referred. �Originally, the mortgaged premises were owned in her sep- arate right by Mary Ann H. D, Scammon, then the wife of the defendant J. Y. Scammon, but since deceaaed. Upon her death, the property by descent passed to her three children, Charles T. Scammon, and the defendants Florence A. D. Eeed and Arianna E. Scammon, subject, however, to a life estate therein of their father. Subsequently, but prior to the exe- cution of the mortgage in suit, Mr. Scammon acquired the interest of his son, Charles T. Scammon ; so that at the date of the mortgage he was the owner in fee of an undivided one- third interest in the premises. This being the state of the title, on the tenth day of September, 1866, Mr. Scammon and his two daiighters joined in the execution of a bond to the complainant, conditioned for the payment of the sum of $30,000 on the tenth day of September, 1871, with interest payable half yearly at 8 per cent. ; and to secure the payment of this bond they executed the mortgage in question. This bond and mortgage were given to secure the repayment to complainant of a loan then made for the purpose of erecting a building on the premises; and the money thus borrowed and secured was so used. �The mortgage contained a clause binding the mortgagors to keep the buildings thereafter erected on the premises insured against loss or damage by fire, and to assign and deliver to complainant the policies of insurance therefor, whenever such ����