By North Carolina Judicial Branch
MidFirst Bank v. Brown
secured transactions; execution on lien by sheriff's sale extinguished liens recorded after sale; sheriff's deed did not control what encumbrances remained on property; equitable subrogation did not apply to place holder of lien recorded after sheriff's sale in the position of prior lien holder where judgment was publicly recorded before loan transaction was consummated; lien holder could not have been excusably ignorant of prior lien, despite misrepresentation regarding judgment by debtor
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Summary
secured transactions; execution on lien by sheriff's sale extinguished liens recorded after sale; sheriff's deed did not control what encumbrances remained on property; equitable subrogation did not apply to place holder of lien recorded after sheriff's sale in the position of prior lien holder where judgment was publicly recorded before loan transaction was consummated; lien holder could not have been excusably ignorant of prior lien, despite misrepresentation regarding judgment by debtor