Discuss five legal remedies of a mortgagee against a defaulting mortgagor
The legal remedies of a mortgagee against a defaulting mortgagor
- Statutory power of Sale: The mortgaged property can be sold and the proceeds used to clear the outstanding amount in the mortgage
- Appoint a receiver: A receiver can be appointed to manage the property and the income received applied to clear the arrears and installments that fall due.
- Foreclosure: A court can give orders to deny the mortgagor a right to redeem his property.
- Consolidation/Possession of the mortgaged property and manage it to realize income to use to pay the arrears or installments due.
- Sue/Suit on personal covenant: The debtor can be sued on the personal liability for breach of the covenant.