CROCKETT v. FIRST FEDERAL S. & L. ASS'N, ETC.

No. 36.

224 S.E.2d 580 (1976)

289 N.C. 620

Elizabeth E. CROCKETT et al. v. FIRST FEDERAL SAVINGS AND LOAN ASSOCIATION OF CHARLOTTE, North Carolina.

Supreme Court of North Carolina.

May 14, 1976.


Attorney(s) appearing for the Case

Mraz, Aycock, Casstevens & Davis by John A. Mraz and Robert P. Hanner, II, Charlotte, for plaintiffs-appellees.

Perry, Patrick, Farmer & Michaux by Roy H. Michaux, Jr., Charlotte, for defendant-appellant.

Brooks, Pierce, McLendon, Humphrey & Leonard by L. P. McLendon, Jr., and Michael D. Meeker, Greensboro, for the North Carolina Savings and Loan League, Inc. as amicus curiae.


COPELAND, Justice.

There is one principle question for us to determine: Does defendant, as beneficiary under a deed of trust containing the language above described have a lawful right to require the proposed purchasers of the property secured by said deed of trust to agree to pay an increased rate of interest as a condition to its assent to a transfer of the security property and the assumption of the loan?

Plaintiff contends that since the due-on-sale clause...

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