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Vernon v Bethell information


Vernon v Bethell
CourtCourt of Chancery
Citation(1762) 28 ER 838, 2 Eden 110
Keywords
Equity of redemption, necessity

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.

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.

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