O.C.G.A. § 44-14-182 (2019)
Foreclosure by transferee
An endorsement to order or in blank by the payee of a mortgage note gives the endorsee or the holder for value the right to foreclose the mortgage in his own name. A mortgage transferred without written assignment may be foreclosed in the name of the mortgagee bringing the action for the use of such assignee; and proceedings begun in the name of the transferee may be amended by making the mortgagee a party before or after the judgment.
History
Civil Code 1895, § 2745; Civil Code 1910, § 3278; Code 1933, § 67-203. History of Section. This Code section was codified from the decisions of Nicholson v. Whaley, 90 Ga.
257, 16 S.E. 84 (1892); Burgwyn & Bros. Tobacco Co. v. Bentley & Co., 90 Ga. 508, 16 S.E. 216 (1892), and Setze v. First Nat’l Bank, 140 Ga. 603, 79 S.E. 540 (1913). It appeared for the first time in the Code of 1895.
Annotations
JUDICIAL DECISIONS Holder of note. - A blank endorsement of the payee of a mortgage note is sufficient to pass the legal title in the note and mortgage to the holder thereof, and the mortgage may be foreclosed by the holder in the holder’s own name. Patillo v. Hallet & Davis Piano Co., 26 Ga. App. 327, 106 S.E. 206, 1921 Ga. App. LEXIS 131 (1921). Holder using mortgagee’s name. - The purchaser of notes secured by mortgage may foreclose the mortgage at law by using the name of the mortgagee for the purchaser’s use, even against the consent of the mortgagee, by giving proper indemnity. Calhoun v. Tullass, 35 Ga. 119, 1866 Ga. LEXIS 173 (1866). Transferee foreclosing where first foreclosure irregular. - A transferee of a mortgage fi. fa. can foreclose the mortgage in own name as transferee, if for any reason the first foreclosure on which the fi. fa. is based is irregular or defective. Ragan v. Coley & Bro., 4 Ga. App. 421, 61 S.E. 862, 1908 Ga. App. LEXIS 321 (1908). Amendment of parties. - Although the bearer of a mortgage, as such, has no right to foreclose it in the bearer’s own name, yet where it appears that one so
proceeding had, in fact, a transfer in writing to the bearer personally, the verbal inaccuracy in describing the character as plaintiff could have been amended. Taylor v. Blasingame, 73 Ga. 111, 1884 Ga. LEXIS 42 (1884). Amendment of judgment after adjournment. - After the adjournment of the term at which it was rendered, a judgment cannot be amended on the merits of the cause by reason of facts or conditions subsequently transpiring. Richards v. McHan, 139 Ga. 37, 76 S.E. 382, 1912 Ga. LEXIS 517 (1912). Evidence justifying recovery. - In an action upon a mortgage note, instituted by the payee for the use of an assignee, where it appears that the assignee is the holder of the legal title, the assignee is the real party at interest. Although the petition may not be amended by striking the name of the nominal party plaintiff and substituting therefor the name of the assignee as plaintiff, there may nevertheless be a recovery for the plaintiff upon evidence which sustains only the right of the assignee to recover, where such evidence has been admitted without objection. Carden v. Hall, 34 Ga. App. 806, 131 S.E. 296, 1926 Ga. App. LEXIS 50 (1926).
RESEARCH REFERENCES Am. Jur. 2d. 55 Am. Jur. 2d, Mortgages, §§ 1017, 1019. C.J.S. 59 C.J.S., Mortgages, § 352. ALR. One taking assignment of mortgage in payment of or as collateral security for prior debt as a bona fide purchaser, 80 A.L.R. 395. Mortgagee’s rights in respect of as-
sumption clause in deed as affected by invalidity or avoidability of clause as between grantor and grantee, 100 A.L.R. 911. Personal liability of purchaser of property subject to chattel mortgage, to the mortgagee, 100 A.L.R. 1038. Release of vendee (or intermediate assignee of vendee’s interest) by subsequent dealings between assignee and vendor, 125 A.L.R. 979.