Dart v. Western Savings & Loan Association
Supreme Court of Arizona
438 P.2d 407 (1968)
Relevant factsFree
After the original trustee mismanaged and embezzled from a trailer park mortgaged to Western Savings (plaintiff), residuary beneficiary Dart (defendant) took possession and began properly maintaining the property; Western nonetheless sought foreclosure and appointment of a receiver based on an explicit mortgage clause requiring one, despite acknowledging at trial that its security interest was no longer in jeopardy under Dart's management, and the trial court appointed a receiver based on that contract language.
IssueFree
Whether a mortgagee is entitled to a receiver if the security is adequate and no waste is threatened that is likely to impair the mortgagee's safety.