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3. 0, owner of Blackacre, which is worth 5550,0000, borrows $10,000 from A and gives A a mortgage on Blackacrc. A does not record. 0
3. 0, owner of Blackacre, which is worth 5550,0000, borrows $10,000 from A and gives A a mortgage on Blackacrc. A does not record. 0 then borrows $14,000 from B and, after telling B of the prior mortgage to A, gives B a mortgage on Blackacre. B records, 0 then borrows $5,000 from C and gives C a mortgage on Blackacrc. C has no notice of A's mortgage. C records. Subsequently Blackacre is discovered to be contaminated with hazardous wastes, and its value plummets. O defaults. Upon foreclosure sale, Blackacre sells for $20,000. How should this amount be distributed among A, B, and C? Suppose all of the gures in this problem, except for the original worth of $50,000, were $5,000. How should the fund be distributed
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