This section is from the book "American Law Of Real Estate Agency", by William Slee Walker. Also available from Amazon: American law of real estate agency.
A broker, through negligence, loaned on second mortgage some money which, for compensation, he had undertaken to loan on first mortgage security, but before the loan became due the lender, with other creditors of the borrower, signed a composition releasing him from personal liability beyond the lien of the mortgage. Held, that this released the broker from his contingent liability to the lender. Nicolai v. Lyon, 8 Ore. 56.
 
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