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the just rights of the parties, by decreeing that the con tract shall be null and void.

Read 1 Story Eq. Jur., §§ 191-251, 260-348, 384.

2 Story Eq. Jur., §§ 692-707.

Willard Eq. Jur., pp. 302-304.
Adams Eq. Jur., pp. 174-191.
Kerr Inj., pp. 47–51.

$321. Of the Correction of Mistakes,

The correction of mistakes, made by the parties in the language of their written contracts, is the peculiar duty of a court of equity. A court of law can recognize only the contract as actually written, and as interpreted according to the rules of law. Equity, however, has the power to carry out the exact intention of the parties, whatever the language which they have mistakenly employed, and to reform and amend the written instrument to make it correspond with their intention. These mistakes must have been mutual, since otherwise there could have been no such meeting of the minds of the parties, as to constitute a contract with which the written contract can be made to correspond; and, in such cases, if the written contract cannot be set aside for fraud or other cause, the parties must abide by its interpretation in the courts of law. These mistakes may have been either as to some material fact, or as to some matter of form, or even, in some cases, as to matter of law.

Read 1 Story Eq. Jur., §§ 110-181.

Willard Eq. Jur., pp. 59-84, 300–302.

Adams Eq. Jur., pp. 168–174.

Kerr Inj., pp. 52-55.

§ 322. Of the Interpretation of Contracts.

Contracts have usually the same interpretation both in law and equity. The rules which govern courts of equity,

in this respect, are, however, less rigid than the rules of law; and the true intention of the parties, when it can be ascertained, will always be regarded.

Read 1 Story Eq. Jur., §§ 156–160, 168, 179–181.

2 Story Eq. Jur., § 1531.

Kerr Inj., pp. 55, 497–501.

§ 323. Of Relief against Fraud.

Courts of equity also afford relief in all cases where fraud of any kind has been, or is about to be, practised by one person against another. Equitable jurisdiction, in matters involving this form of injury, is most extensive, and relief may be obtained in any manner which the circumstances of the particular case require. When a contract is tainted with fraud it may be set aside, or so far enforced only as equity requires. Where penalties and forfeitures are legally due from one person to another, but cannot be honestly and justly insisted on, equity will compel the latter to forego his claim. Where a principal refuses to indemnify his surety, or a trustee refuses to give a proper bond for the performance of his duties, equity can compel them to fulfil the obligations, which legally or justly rest upon them. Where one creditor has two funds, by which his debt is secured, and a subsequent creditor has security in only one of these funds, equity will marshal the securities by compelling the former creditor to resort to and exhaust the fund, in which he is solely interested, before applying the other to the satisfaction of his debt. When title-deeds are in the possession of a person, who has no right to retain them, equity will compel him to deliver them to the owner of the land. Where void or satisfied notes, or other obligations, are in the hands of a payee or other person who has no right thereto, equity will compel their return to the alleged maker. In all these cases, as in any others where it would

be unjust to leave the parties in statu quo, or would enable one to work an injury to another, or to drag him into useless litigation, equity affords prompt and sufficient remedies.

Read 1 Story Eq. Jur., §§ 78-110, 184-440, 550-577, 633

645.

2 Story Eq. Jur., §§ 692-707, 849, 850, 1301-1326.
Willard Eq. Jur., pp. 55, 56, 145-259, 304-308,
337-339.

Adams Eq. Jur., pp. 106-109.
Kerr Inj., pp. 31–51, 69–98.

§ 324. Of Account, Equitable Assignment, and Interpleader. AT BREED.

The determination of a controversy, involving the account of one person against another, is within the ordinary jurisdiction of the courts of law. A court of law, however, with its peculiar systems of pleading, trial, and judgment, cannot adjust reciprocal accounts where more than two interests are represented, or where some of the conflicting interests are legal and others merely equitable. Thus, in the settlement of copartnership affairs, when there are more than two partners, or in cases where each of the contending parties has an account against the other, concerning which dispute exists, a court of equity alone can take cognizance of all the rights in controversy, and do justice to the several interests of each. Thus, also, where the equitable owner of a chose in action, who, not having the legal interest, cannot sue thereon at law, proceeds against the other party to the contract, he must seek the aid of equity. And where two different parties make a claim, for the same subject-matter, on a third party who does not know which claim to recognize, the latter may compel the

claimants to interplead in equity, and first decide to which of them the subject-matter properly belongs.

Read 1 Story Eq. Jur., §§ 441-468, 490–505, 522–529, 659–
664, 679-683.

2 Story Eq. Jur., §§ 800-824, 1039-1057 b, 1430-1444.
Willard Eq. Jur., pp. 85-92, 313–323, 460-464.
Adams Eq. Jur., pp. 202–206, 220-228, 239–247.
Kerr Inj., pp. 57–68, 99–102, 118–132.

§ 325. Of the Redemption and Foreclosure of Mortgages.

The interest of a mortgagor in mortgaged property is called an equity of redemption. It consists in the right to pay the mortgage-debt, and thus redeem the property. This right to redeem can only be extinguished by the act of the mortgagor, or by a foreclosure of the mortgage in a court of equity. And where a mortgagee refuses to accept the payment of the debt and release the property, the mortgagor may enforce his right to redeem in the same court.

Read 2 Story Eq. Jur., §§ 1004–1035 c.

Willard Eq. Jur., pp. 426, 427, 447–452.
Adams Eq. Jur.,

pp. 110-120.

§ 326. Of the Separate

Maintenance and Separate

Property of Married Women.

At law, a married woman is regarded as one person with her husband, but in equity she is, in some respects, treated as if she were still single. Thus, though at law no contract can be made between a wife and husband, in equity their contracts for her separate living and maintenance will be enforced. Property given to her for her sole and separate use, or over which, by contract with her husband before marriage, she is authorized to exercise exclusive

control, will in equity be regarded as vesting in her, in the same manner as if she were unmarried. A court of equity will recognize her acts and contracts, in reference to such property, as valid, and she may sue and be sued in equity thereon without her husband.

Read 1 Story Eq. Jur., § 243.

2 Story Eq. Jur., §§ 1366-1429.
Willard Eq. Jur., pp. 634–654.

§ 327. Of Receivers.

Upon the dissolution of a corporation or copartnership, where property remains on hand to be disposed of and the claims of creditors are to be adjusted, a court of equity has power to appoint a receiver to wind up its affairs. Also, in any case where property, the right to which is being litigated, is exposed to loss from want of care, it may be put into the hands of a receiver for safe-keeping, till the controversy is determined.

Read 1 Story Eq. Jur., § 672.

2 Story Eq. Jur., §§ 829-838.
Willard Eq. Jur., pp. 332-337.
Adams Eq. Jur., pp. 243, 352–355.
High Receivers, §§ 1-39, 287-289, 472-477.

§ 328. Of Trusts.

The supervision and administration of trusts is another very important branch of equitable jurisdiction. Whenever property is legally vested in one person, while the beneficial interest therein belongs to another, a trust exists, which will be recognized and enforced in equity. Such trusts may be created expressly, or may be implied from circumstances. The person holding the legal interest is

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