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The Validity Of Corporate Mortgages Executed For Accommodation, Edward O. Curran

Michigan Law Review

The problem of the validity of an accommodation mortgage executed by a corporation--that is, a mortgage or pledge of the property or assets of the corporation for the benefit of another without the receipt by the corporate mortgagor or pledgor of any consideration for the loan of its credit--is one which appears not to have been explored by writers on legal topics. No reason is readily apparent for the obvious dearth of discussion on this subject; the pertinent cases are not too numerous for ready collation and the accommodation mortgage device is itself of practical importance in certain situations in …