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Constitutional Law--Impairment Of Obligation Of Contract--Mortgage Moratorium--Determination Of The Existence Of An Emergency, George Brody

Michigan Law Review

In 1943 the New York State Legislature extended its moratorium legislation for another year, thereby continuing the suspension of mortgage foreclosure proceedings on real property due to default in payments on principal. The legislature declared that an emergency still existed and therefore the continuance of legislative action, first taken in 1933, was justified. The law made payment of interest, taxes, insurance and amortization charges a prerequisite to suspension of foreclosure. Appellant brought an action to foreclose a mortgage on appellee's property for the non-payment of principal, contending that the suspension of foreclosure proceedings resulted in an impairment of the obligation …