Vernon v Bethell
From Wikipedia, the free encyclopedia
Vernon v Bethell (1762) 28 ER 838 is an English property law case, where it was affirmed that there could be no clog on the equity of redemption. In justifying this rule, Lord Henley LC made the famous observation that,
necessitous men are not, truly speaking, free men, but, to answer a present exigency, will submit to any terms that the crafty may impose upon them.
Vernon v Bethell | |
---|---|
Court | Court of Chancery |
Citation(s) | (1762) 28 ER 838, 2 Eden 110 |
Keywords | |
Equity of redemption, necessity |
The case stands for the principle "once a mortgage, always a mortgage", meaning a borrower cannot contract to give up his automatic right to redeem title to his property once the debt is paid. It was a landmark decision in upholding some basic protection at common law for debtors. It also had historic significance in the principle it laid out inspired the Second Bill of Rights, proclaimed by the American President Franklin D. Roosevelt in his 1944 State of the Union Address, to promote basic social and economic rights for all citizens.