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Case Citations [1] (July 2019 - August 2020)

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                  PROPERTY 3D: MORTGAGES



                         CHAPTER 1. CREATION OF MORTGAGES

§ 1.1 The Mortgage  Concept; No Personal Liability Required

Conn.App.2019.  Quot. in sup., com. quot. in sup. In an action arising from a note signed by husband
only in exchange for a loan and a mortgage signed by wife only on her residential property, assignee of
the note and mortgage brought a foreclosure action against husband and wife. After husband declared
bankruptcy and assignee withdrew the action as to husband, the trial court conducted a bench trial and
ruled in favor of wife, finding that assignee was not entitled to foreclosure or equitable reformation of
the note to include wife as a borrower or reformation of the mortgage to secure husband's note.
Affirming, this court held, among other things, that the mortgage, as executed, was a nullity, because it
purported to secure a nonexistent debt, and, absent reformation, a court could not foreclose a mortgage
that purported to secure a nonexistent debt. The court cited Restatement Third of Property: Mortgages §
1.1 in explaining that a mortgage was a conveyance or retention of an interest in real property as security
for performance of an obligation, and that, unless it secured an obligation, a mortgage was a nullity.
JPMorgan  Chase Bank, National Association v. Virgulak, 218 A.3d 596, 608.

§ 1.5 Description of the Mortgagee and the Mortgage Obligation

C.A.1, 2020. Cit. in sup. Commercial photographer that took photos for light bulb manufacturer and
licensed them to manufacturer for use in marketing and selling the light bulbs filed a copyright-
infringement claim against distributor of manufacturer's light bulbs that allegedly used the photos
without permission. The district court granted summary judgment for distributor, finding that
manufacturer had impliedly granted distributor a sublicense to use the photos by sending copies to
distributor or directing it to the location of copies. This court affirmed. The court rejected
photographer's argument that the test employed by many courts for assessing claims of an implied
license from a copyright owner had to be applied in assessing claims of an implied sublicense between a
licensee and a sublicensee, reasoning by analogy that it made no more sense to use that test to assess the
making of a sublicense than it would to require that an assignment of a mortgage meet the same
requirements that might apply to the granting of a mortgage under Restatement Third of Property:
Mortgages §§ 1.5 and 5.4. Photographic Illustrators Corporation v. Orgill, Inc., 953 F.3d 56, 62.



      CHAPTER 5.   TRANSFERS OF MORTGAGED REAL ESTATE AND MORTGAGES

§ 5.4 Transfer of Mortgages and Obligations Secured by Mortgages

C.A.1, 2020. Cit. in sup. Commercial photographer that took photos for light bulb manufacturer and
licensed them to manufacturer for use in marketing and selling the light bulbs filed a copyright-
infringement claim against distributor of manufacturer's light bulbs that allegedly used the photos
without permission. The district court granted summary judgment for distributor, finding that
manufacturer had impliedly granted distributor a sublicense to use the photos by sending copies to

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          For earlier citations, see the Appendices, Supplements, or Pocket Parts, if any, that correspond to the subject matter under examination.

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