Contemporary Business Law 8th Edition by Henry Cheeseman

Exercise 2

Foreclosure Atlantic Ocean Kampgrounds, Inc. (Atlantic), borrowed $60,000 from Camden National Bank (Camden National) and executed a note and mortgage on property located in Camden, Maine, securing that amount. Maine permits strict foreclosure. Atlantic defaulted on the loan, and Camden commenced strict foreclosure proceedings pursuant to state law. After the one-year period of redemp­tion, Camden National sold the property to a third party in an amount in excess of the mortgage and costs of the fore­closure proceeding. Atlantic sued to recover the surplus from Camden National. Who wins? Atlantic Ocean Kampgrounds , Inc. v. Camden National Bank , 473 A.2d 884, Web 1984 Me. Lexis 666 (Supreme Judicial Court of Maine)