58-2321. Assignments not recorded; whom mortgagor may pay.
58-2321
58-2321. Assignments not recorded; whom mortgagor may pay.In cases where assignments of real estate mortgages are made after thepassage of this act, if such assignments are not recorded, the mortgagor,his or her heirs, personal representatives, or assigns, may pay all maturedinterest or the principal debt itself prior to the recording of suchassignment to the mortgagee, or if an assignment of such mortgage has beenmade that duly appears of record, then such payment may be made to the lastassignee whose assignment is recorded in accordance with the provisions ofthis act, and such payment shall be effectual to extinguish all claimsagainst such mortgagor, his or her heirs, personal representatives, andassigns, for or on account of such interest or such principal indebtedness; and notransfer of any note, bond or other evidence of indebtedness, byendorsement or otherwise, where such indebtedness is secured by mortgage onreal estate within this state, shall prevent or operate to defeat thedefense of payment of such interest or principal by the mortgagor, his or herheirs, personal representatives, or assigns, where such payment has beenmade to the mortgagee or to the assignee whose assignment appears last ofrecord under the provisions of this act: Provided, however, That inall such cases the assignee who may hold such unrecorded assignment shallhave a right of action against his or her assignor to recover the amount of anysuch payment of interest or principal made to such assignor as upon anaccount for money had and received for the use of such assignee.
History: L. 1899, ch. 168, § 3; March 15; R.S. 1923, 67-321.