Gore-Hickman v Alliance Assurance Company, Ltd

• Jurisdiction: Ireland
• Judgment Date: 02 November 1936
• Date: 02 November 1936
• Docket Number: (1933. No. 1059.)
• Court: Supreme Court (Irish Free State)

S. C., I. F. S.]

Gore-Hickman

and

Alliance Assurance Co., Ltd.

Lands and policy comprised in one mortgage - Release of policy from mortgage - Policy included in sub-sequent mortgage - Lands in prior mortgage sold under Land Acts - Mortgagee paid principal and six years' interest - Further interest outstanding -Right to redeem securities in subsequent mortgage - Right of consolidation - Covenant for payment - "Moneys intended to be hereby secured" -Conveyancing and Law of Property Act, 1881 (44 45 Vict. c. 41), s. 17.

By an indenture of mortgage, dated 9th October, 1878, a borrower mortgaged certain lands and a policy of insurance on his own life, dated 4th October 1878 (and effected with the lenders), to secure an advance of £3,000 by the lenders. The mortgage contained a proviso that, subject to a power for the borrower during his lifetime to deal with the policy or policies for the time being subject to the mortgage in any way that might be agreed with the lenders and to throw the whole of the moneys for the time being due on the mortgage upon the lands the moneys payable on the policy or policies should on his death be the primary security for the payment of the moneys intended to be secured by the mortgage in exoneration of all other real and personal estate of the borrower. By a marriage settlement, dated 12th October, 1878, the borrower conveyed the said lands, subject to the said mortgage, to the uses and trusts therein under which he became legal tenant for his own life with remainders in tail male and remainders over. On 24th October, 1879, the borrower effected with the lenders a second policy on his own life. By mortgage dated 1st November, 1879, the borrower, in consideration of a loan of £3,000 by the lenders, charged his interest in the said lands under the said settlement with repayment of "as well the sum of £3,000 intended to be hereby secured" as of "the sum of £3,000 intended to be secured" by the mortgage of 9th October, 1878, and covenanted that the said lands should not be redeemed during his life but upon payment of as well the moneys intended to be thereby secured as of the moneys intended to be secured by the mortgage of 9th October, 1878. The said mortgage also contained an assignment of the said policy of 24th October, 1879, subject to redemption upon payment of the sum of £3,000 with interest and "also all moneys intended to be secured" by he said mortgage of 9th October, 1878; and also contained a covenant for...