McGreevy

The respondents secured a judgment against The Southwest Foundation in the principal sum of $225,000, representing the unpaid balance of the sale price of oil and gas leases in the Deer Creek field in Tulare County, and for the foreclosure of the vendor’s lien thereon. Defendants, The Southwest Foundation and Ward B. Blodget, did not appeal, and the judgment is final as to them. A default judgment was entered as against Arthur M. Hoffeins and C. L. Little as to any priority interest possessed by them by virtue of a second trust deed covering the real property, and it also has become final. The defendants, Constitution Life Insurance Company, a corporation, and Paul Doolen, beneficiaries of encumbrances placed on the real property when title was in The Southwest Foundation, are the only appellants. In essence, the question to be decided on the appeal is whether the liens of Constitution Life Insurance Company and Paul Doolen have a preferred position as against a vendor’s lien of the original sellers.

Respondents were members of two partnerships known as MeGreevy-Neary Co. No. 1 and MeGreevy-Neary Co. No. 2; the surviving general partners were A. J. McGreevy, A. F. Peterson, C. E.…