Page:Federal Reporter, 1st Series, Volume 6.djvu/254

 242 FEDERAL REPORTER. �proceeds of sale of the mortgaged promises should not be suf- ficient to pay the amount due on the mortgage, with interest and costs. �In answering the bill, the defendant Morgan admits that the premises were conveyed to him by Keasbey and Man, and that the deed contained a clause to the effect that he asBumed and agreed to pay ofF and discharge the mortgage, as a part of the consideration thereof ; but alleges that the said land had been conveyed to Keasbey and Man in exchange for other land of equal value by them held as trustees under a certain agreement, dated March 14, 1873, entered into by one William J. Pollock, as party of the first part, Drexel, Morgan & Co., party of the second part, Addison Brown, party of the third part, Morton, Bliss & Co., party of the fourth part, and A. Q. Keasbey and Edward A. S. Man, party of the fifth part, -wherein it was, among other things, agreed that the title to certain premises should be taken by Keasbey and Man, as trustees, to hoid the same upon trust, to sell and dispose thereof in a certain manner and upon certain terms in the said agreement provided for, and to distribute the pro- ceeds of the sale to certain persons in that behalf, in the said agreement meutioned, with power and authority to the trus- tees to cause the premises to be laid out in streets and lots, and to make the necessary exchanges of land to effect the same; that the before-mentioned eonveyance by English to Keasby and Man was received by them as such trustees, and not otherwise;- and in the performance on their part of a previous agreement, before made by the said Pollock, as the owner of certain other land, with the said English, to ex- change the same for the premises thereby conveyed; and the said premises became and were part of the fund so held in trust by Keasbey and Man ; and that the said Keasbey and Man had no right, power, or authority, as such trustees, to make or give any promise, covenant, or agreement whereby they, as such trustees, assumed the payment of any mort- gage upon said land, or charged the fund in their hands, as trustees, with any such burden. �^'^e answer then alleges that the sale proviiled for in the ��� �