This section is from the book "The Law Of Contracts", by William Herbert Page. Also available from Amazon: Commercial Contracts: A Practical Guide to Deals, Contracts, Agreements and Promises.
The release of a lien,1 such as a mortgage,2 or a vendor's lien,3 or a mechanic's lien,4 or a judgment lien,5 or a levy,6 or a lien on chattels,7 a chattel mortgage, defective but not void,8 or a pledge,9 a release of an attachment,10 or a waiver of an attorney's lien on papers,11 are all considerations. So the waiver of a right to obtain a lien,12 or an agreement to refrain from obtaining garnishment,13 is a consideration.
7 State, exrel., v. Hills, 94 0. S. 171, L. R. A. 1917B, 684, 113 N. E. 1045; Skagit State Bank v. Moody, 86 Wash. 286, L. R. A. 1916A, 1215, 150 Pac. 425. (There was said to be another consideration in the bank's waiver of its right of action against the original debtor for overdue interest.)
A covenant by the bank to continue in business is a consideration for such promise. Hurd v. Kelly, 78 N. Y. 588,
34 Am. Rep. 567.
1 Bluthenthal v. Moore, 106 Ga. 424, 32 S. £. 344; Day v. Gardner, 42 N. J. Eq. 199, 7 Atl. 365; Le Page v. Slade, 79 Tex. 473, 15 S. W. 496; Finks v. Buck (Tex. Civ. App.), 27 S. W. 1094. Such release is consideration for a guaranty of the debt secured by the lien. Bluthenthal v. Moore, 106 Ga. 424, 32 S. E. 344. As where a stockholder guarantees a corporation debt in consideration of a discharge of a lien on corporation property. Koenigsberg v. Lennig, 161 Pa. St. 171, 28 Atl. 1016. Or several purchasers of several tracts promise to pay any deficiency in a lien held on an undivided interest in one of the tracts to induce the owner of such unliquidated lien to agree to the value apportioned to the tract covered by the lien. Sloan v. Courteney, 54 S. Car. 314, 32 S. E. 431.
2Cliff Foy v. Dawkins, 138 Ala. 232,
Bank, 55 S. Car. 51, 32 S. E. 816. A promise by remainder-men to treat mortgages made by a life tenant as valid is supported by the consideration of the mortgagee's promise to release all the realty but one parcel from the lien and to aid in preventing a sale of the premises by the sheriff. Columbia Avenue S. F., S. D., T. & T. Co. v. Lewis, 190 Pa. St. 558, 42 Atl. 1094. (Even though the premises were sold at public sale, but not by sheriff.)
3 Lane v. Logue, 80 Tenn. (12 Lea) 681.
4 California. Wilson v. Samuels, 100 Cal. 514, 35 Pac. 148.
Illinois. Allmendinger v. Lumber Co., 82 111. App. 166.
Kentucky. Hillenbrand v. Shippen (Ky.), 58 S. W. 525.
Missouri. Mason v. Gass, 62 Mo. App. 449.
Oregon. Hughes v. Lansing, 34 Or. 118, 75 Am. St. Rep. 574, 55 Pac. 95.
5Bradshaw v. Bratton, 96 Va. 577, 32 S. E. 56. (The purchaser of realty encumbered by a judgment lien promised to pay it personally in consideration of delay in enforcing such lien.) A promise not to attack a fraudulent judgment lien is a consideration for an agreement to postpone such lien. Han-chett v. Ives, 171 111. 122, 49 N. E. 206 [affirming, 69 111. App. 83].
6Mygatt v. Tarbell, 78 Wis. 351, 47 N. W. 618. But if the property is clearly exempt from execution, forbearance to levy thereon is no consideration for the promise of a third person. Hennessey v. Hill, 52 111. 281.
7 Rollins v. Hare, 15 Ind. App. 677, 44 N. E. 374; Sharp v. Carmody (Ky.) 32 S. W. 749.