278. Constructive notice of prior rights.

278.     Constructive notice of prior rights.

A mortgagee has constructive notice of an earlier incumbrance if it would have come to his knowledge, or to the knowledge of his solicitor or other agent, if proper inquiries and inspections of deeds had been made1. Thus the mortgagee is affected with notice if he omits to make usual and proper inquiries as to the mortgagor's title2, provided that those inquiries would have disclosed the earlier incumbrance3; and there is even more reason for this if he designedly abstains from making inquiry in order to avoid