Mortgages Decree, 1972 (N.R.C.D. 96)

MORTGAGES DECREE, 1972 ARRANC',I=MFNT OF SFrTf()N~ Section L Nature of a mortgage 2. Decree to govern all mortgages 3. Mortgages evidenced by writing PART fl-EFFf'CT or A Ivl0RTGAGE 4. Extent of mortgaged property 5. Acts secured by mortgll.g~ 6. Personal liability of mortgagor 7. Mortgage to more than one person 8. Implied covenants on creation of mortgage 9, Implied covenants joint and several 10, Right to tide documents IL Insurance 12. Transfer by mortgagor 1.3. TrdllsHa by lllUI tgagee 14. Illegal, void and voidable transactions 15. Remedies of mortgagee on default 16. Appointment of receiver on default 17. Mortgagee in possession 18. Judicial sale 19. Priorities 20. Methods of redemption 21. Judicial sale in lieu of redemption 22. Discharge receipts PART HI-MISCELLANEOUS 23. Modol precedents 24. Interpretation 25. Application 26. Commencement. SCHEDULES 2 MORTGAGES 'DECREE, J912 IN pursuance of the; National Rodcmption Council (E3ta:bJi~hm"Dt) Proclamation, 1972 this Decree is hereby made: PART I-GENERAL PROVISIONS 1. (1) A mortgage for the purposes of this Decree is a contract charging immovable property as security for the due repayment of debt and any interest accruing thereon or for the performance of some other obligation for which it is given. in accordance with the terms of the contract. (2) A mortgage shall be an encumbrance on the property charged, and shall not, except as provided by this Decree. operate so as to change the ownership, right to possession or other interest (whether present or future) in the property charged. (3) A mortgage may be- e-[(;4tOO in any Interest ill inuuovable property which is alienable. 2. A mortgage of immovable property shall only be capable of being effected in accordance with the provisions of this Decree, and every tr¢rulactron which· i" in ",ubsUlnl;C a mortgage of immov­ able property, whether expressed as a mortgage, charge, pledge of title documents. outright conveyance; trust for sale on condition, lease, hire-purchase, conditional sale, sale with right of repurchase or in any other manner, shall be deemed to be a mortgageofimmov­ able plOp"ILy illld :ibull be governed by f:his Decree. 3. (I) No mortgage shall be enforceable unless (a) it is evidenced by a writing signed by the mortgagor or by his agent authorised in writing to sign on his behalf; or (b) it is excused from the necessity of a writing by the operation of the rules of equity including the rules relating to fraud, duress, hardship, unconscionability and part performance; 01:" (e) it is excused from the necessity of a writing by any enactment, in the case of a customary law transaction. (2) Every writing evidencing a mortgage shall be deemed to be an instrument which mllY he regi.~tered in accordance with the Land Registry Act, 1962 (Act 122). (3) A registrar empowered to register instruments in secor­ dance with the Land Registry Act. 1962 (Act 122) may. in addition to any powergiven to him by that Act, refuse to register any writing evIdencing a mortgage unless the writing (a) states the name and address of each mortgagor and each mortpgee; N.R£.D. H. MORTGAGES DECREE, 1972 (b) states the nature of the mortgagor's interest in the pro~rty which is mortgaged and the Clltent to which that interest is subject to the mortgage; (c) identifies the mortgaged property by reference to its location and boundaries (which may be by reference to an official plan) or to a previously registered writing describing the same property; (d) where the mortgage secures the payment of money. states the date on which payment is due and states the principal sum lent or to be tent or if the sum to be lent is indeterminate the writing so states, and if further advances are to be made and secured by the mortgage the writing so states. (4) Every writing evidencing the transfer or encumbrance of a mortgage or any rnteresc in It mortgage shall be deemed to be an instrument which may be registered in accordance with the Land Registry Act, 1962 (Act 122). (5) Every writing evidencing a discharge of a mortgage or any pan of a mortgage in accordance with sectlon 22 shall be deemed to bean instrument which may be registered in accordance with the Land Registry Act, 1962 (Act 122). and such a writing shall be registered without payment of stamp duty. PART II-EfFECT OF A MOllTGAGE 4. (I) Every mortgage is effectual to create a charge upon all Extent of interests and rights which tho mortgagor has in the property mort- mort~ gaged, or which he enjoys as an incident of his interest in the mort- property. gaged property. (2) Subsection (I) shalf apply only if and as far as a contrary intention does not appear expressly or by necessary implication, and shall have effect subject to the provisions of the mortgage, 5. Unless a contrary intention appears expressly, a mortgage Acts shall be security only for the performance of the act or acts provided seeured by in the mortgage and Dot COl ;my ~O{OUWlNpCQ~ ill WlY past mnrtlmre. or future contract. 6. Unless a contrary intention appears expressly or by necessary Personal implication. the mortgagor shall be personaUy liable. as well as IiabiUty of liable on the mortgage security. for the performance of the act or mortsaaor· actsseeured by the mortgage. Mortgage to mol"t-;; than one person. Implied ~l~ on creation of rnor'tgaJ<:. IlIIPlied covenants joint and 1CVllfa1. Right to title documenm. .. MORTGAGES DECREE, 1971 7. (I) Unless a contrary intention appears expressly or by neces­ sary: impli.....tiou, II uuntgage moot: to LWD Of IU.:Jfe mortgagees or transferred to two or more transferees or securing performance to two or more obligees shall, as against the mortgagor or obligor or any person deriving an interest through the mortgagor or obligor and without prejudice to the rights of the mortgagees, transferees or obligees among themselves. be deemed to be made to the mort­ gagees or transferred to the transferees or secured to the obligees as joint holders with right of survivorship. (2) Subsection (I) of this section shall apply notwithstanding any notice to the roortgagcn 01 ubli~ur IJT person derlvlng an interest through either or both of them of a severance of the joint holding after the mortgage. 8. Unless a contrary intention appears expressly or by necessary implication, there shall be implied the covenants relating to the Ii~ht to mortgage,quiet enjoyment, freedom from encumbrances, further assurance, maintenance, repairs and protection of the mortgage security in the terms set out in Part I of the First Schedule; and where the mortgaged property includes a 1easehold as to that lease­ hold there shall be implied the further covenants relating to validity and past and future observance of the lease in the terms set out in Pan II of the Ficst.Schedu1e. 9. Unless. a contrary intention appears expressly or by necessary implication, in a mortgage or transfer of a mortgage where two or more persons are expressed to mortgage Of transfer or to join as covenanters, an implied covenant on their part shall be deemed to be a joint and several covenant by them; and where there are two or more mortgagees or transferees an implied covenant with them shall be deemed to be a covenant with them jointly unless the per­ forrnance secured by the mortgage is secured to them in shares or distinct sums, in which case the implied covenant shall be deemed to be a covenant with each in respect of the share or distinct sum secured to him. 10. (1) Unless a contrary intention appears expressly or by necessary implication, as against the mortgagor the prior mortgagee shall beelititled- to possession of aU of the mor1;Imgor~ title docu­ ments which.relate exclusively to the mortgaged property. (2.) Unless a contrary intention appears expressly or by necessary implication, where during the life of the mortgage the mortgagor becomes entitled to possess any tide document relating cxclu.s.iv.ely to the mOl1~ property it shall be the duty of the mortgagor to deliver that documentto tho then prior mortgagt:e. 5 MORTGAGES DECREE, 1972 N.R.CoD. 96. (3) A mortgagee having possession of a mortgagor's title documents shall keep them whole, uncancelled and undetaced and shall be liable in an action for damages for any wilful or negligent failure so to do, and shall deliver them upon timely performance of the act or acts secured by the mortgage or upon redemption to the then prior mortgagee, and if there be no mortgagee then to the mortgagor or person succeeding to title through the mortgagor. (4) Where the mortgagee has possession of title documents, the mortgagor at any reasonable time. on his request and at his own expense, shall be entitled in person or through an agent to inspect and make copies or extracts from any such document. 11. (I) Both the mortgagor and the mortgagee have an insurable Insurance. Interest ill Lin,:: murtgaged property. (2) Unless a contrary intention appears expressly or by necessary implication, where the mortgagor has covenanted to insure all or any part of the mortgaged property and fails to do so <l.:; Il;I.(uilcU by lIlt:: tenus or the lIIungage, the mortgagee shall be entitled, after giving notice in writing to the mortgagor, to insure and keep insured the mortgaged property against loss or damage by theft, fire, earthquake or other natural disasre-: and the premiums paid by the mortgagee for any such insurance shall be secured with the same priority as the mortgage and, where the mortgage secures payment of money, shall be added to the principal sum with interest at the same rate as on the principal sum. (3) Unless a contrary intention appears expressly or by necessary implication, where the mortgagor has covenanted to insure an or any part of the mortgagedproperty and the insurance has been effected by the mortgagor, or on behalf of the mortgagor by the mortgagee, all money received on such insurance shall be applied in making good the loss or damage in respect of which the money is received unless the mortgagor elects to apply all or part of it toward the performance of the act or acts secured by the mortgage. 12, (1) Unless Jl r.ontr-lT}' intention A~n expl'el:dy or by Tr"n&f.,..by necessary implication, a mortgagor may transfer all or any part of mortgagor. his interest In the mortgaged property at any time without the CODCUJTCnCC of themortgagee. (2) The transfer of an or any part of hi!;; interest in the mort­ &'lg~ property shall no! relieve the mortgagor of his personal liability on any coveaantm the mortgage, NoR.CD. !Jr6. Ttansrerby mortgagee. ~nd II'.ll<lab!e Va ......i:tC­ dOUh 6 MORTGAGES DECREE, 1972 (3) In a transferof a mortgaJte [rom a mortgagorfor valuable consideration, unless a contrary Intention appears expressly or by necessary implication. the transferee shall be deemed to have covenanted to indemnify the mortgagor's personal liability on any covenant in tPie mortgage. (4) UnlCllli II contrary tntenrton appears expressly or by necessary implication, it shall be implied that the mortgagor cove­ nants to give notice to the mortgagee of any transfer of all or any part of the mortgagor's interest in the mortgaged property by the mortgagor subsequent to the mortgage: . Provided that notwithstanding any provision to the contrary, failure to give such notice shall not invalidate the transfer. (5) In this section, a transfer includes a sale, lease, encum­ brance or nthM .dl~~itioo; 13. (0 A mortgagee rimy transfer alT or any part of his interest in the mortgage at any time without the concurrence of the mort­ gagor, so however that any transfer shall be void and of no effect if it purports to make l:lny disposition of the mortgagee's interest ill the mortgaged property without making the same disposition of the right to performance of the act or acts secured by the mortgage. (2) Unless a contrary intention appears expressly Or by neces­ S'"''Y implication, a transfer of a mortgage by 0. mortgagee operates (0 transfer the entire interest of lhe mortgagee to the transferee, including- . (a) the right 10 demand, sue for, recover and give receipts f,~r p~rr';'rm:>.nc... of th", act or acts secured by the; mortgage, including performance then due or becoming due thereafter; and (b) the benefit of aU securities for performance including collateral securities, and the benefit of a.nd right to sue on all covenants with the mortgagee and the tight to exercise aU powers of the mortgagee. (3) In this section, a transfer includes a sale, lease, eneum­ bnnce 01" othu disposition. 14. (1) Where the performance of an act or acts secured by the mortgage is iilegal, or derives from a.contract which is. illegal, the mortgage shaD to that extent not be enforceable, so however that a. court may order the return at title documents or the removajol .my dog-on the tide to the lIIOftSlIFd property. 7 MORTGAGES. DECREE. 1972 N..R..C.o. 9(i. (2) Where the per[Qrmancc-o£..JIn act or acts secured by the mortga.ge derives from 0. contract~eh h void or voidable Qt the mortgagor's option, the mortgage shall to that extent not be enforce­ able, so however that a court may order restitution as a condition to the return of title documents or tberemoval of any clog on the title to the mortgaged property. 15. Upon failure of performance of an act or acts secured by the Remediesof mortgage (he mortgagee may do either or both of the following: mO~fal:ft (u) sue the mortgagor or obligor or both on any personal on auu, covenant to perform; (b) Jcali~ hi~ securuy in the mortgaged property in all or any of the ways provided in this Part, and in no other way notwithstanding any provision to the contrary in the mortgage. 16. (1) Upon failure of performance uf all act 0\ acts !>t:l,;UIOO by ApPQlnt· the mortgage the mortgagee may apply to the court for the appoint- men! of f . d 1 h ., fi d h d receiver onment 0 a receiver, an un ess t e court IS sans e t at no groun s default. exist for the appointment of a receiver the court shall appoint a receiver. (2) The court may empower a receiver appointed under this section to take possession of the mortgaged property, to collect by demand, action in the name of the mortgagor or mortgagee, or otherwise all income including arrears accruing from the mortgaged property, to give valid receipts for all income collected. and to do any other act necessary or proper to manage the property including the making of repairs and improvements, so however that no such repair or improvement shall bind the mortgagor, mortgagee or property until approved by the court. (3) A rc...d~(;1 i1fJ~ilJ(tx1 under this seeuon shall be liable 10 account at any time ordered by the court. (4) A receiver appointed under this section shall be entitled to retain out of money received by him, for his remuneration, and in satisfaction of all Costs, charges andexpenses incurred hy him ll s receiver, a fee or commission at such rate as the court in its discre­ tion determines. (5) Unless otherwise directed by the enact. a receiver appointed under this section shan apply all income received by him from the property a~ f\.llluw~ ami. in the order Usted: (a) in discharge of all tents, taxes, rates and other required oll'tgoingsalfecting the mortgaged propcrry; (b) in payment of annual sums or other .payments. and th .. i"tere ...t on 211 principal sums, due -o.nd bavinS priority to the mortgage in right whereofhe is n:ceiver; N.tI.c.D. -No 8 MORTGAGES DECREE, 1972 Mottgajp inposscs­ $i<m. (e) in payment of his fee or com~ission, and of t~ pre­ miums of insurance payable 10 accordance with the mortgage and the cost OIeffecfi;ng necessary repairs: Cd) in payment of all interest accruing due in respect of any principal money due under the mortgage; (e) in or towards the discharge of any principal money due under tne mortgage; and shall pay the-residue, if any. to the person who, but for the possession of the receiver, would have been entitled to receive the income or who is otherwise entitled to the mortgaged property. (6) Any provision in a mortgage authorising the appoint, ment of a receiver upon failure of performance of an act Of acts secured by the mortgage other than as provided in this section shall be void and of no effect, 1'7. (t) Upon failure of performance of an act or acts secured by the mortgage the mortgagee shall be entitled, as against the mort­ gagor and any person deriving an interest in the mortgaged pro­ perty through him whose interest is subsequent to that of the mort­ gagee. to possession of the mortgaged property, except that in the case of default in the payment of principal or interest secured by the mortgage, the mortgagee's right to possession may be exercised only after thirty days' notice in writing to the mortgagor Of such longer period as the mortgage may provide. (2) A mortgagee enunec to possession under this section sbaI1 be entitled (a) to enter and take possession of the mortgaged pro-. perty if that may be done peaceably, or (b) to assert his right to possession by an action for possession. (3) A mortgagee tn possession shall be liable to account to the mortgagor for any income, whether in cash or in kind, derived from the mortgaged property which he has received or Without wilful default might have received from the time oftaking posses­ sion. and to pay over to the mortgagor 3Ily excess on the amounts 4LJe on the mortgage. . • (4) In A~tingunder this acet;on the: mQrt)yl~in pu~ $l~nshall be liable for any failure tobe diligent in realising any sum. dueto the mmtgagee from the lDortgagee property. (~ In. a~u.nting under this section the mortgagee in pessessien shalf be li;l.ble at the fair mllrket vlIlue for his> own oeeupa­ lion'rent ifhe occupies all or part of the IdOrtgaged property. MORTGAGES DECREE, 1972 (6) In accounti.ng under this section the mortgagee in poesesslon shall be Iiable for any unreasonable injury to or neglect of mortgaged property caused by his wilful or negligent act or omission. (7) In accounting under this section the mortgagee in possession shall not be entirled to any compensation for personally managing the mortgaged property. (8) In accounting under this section the mortgagee in possession shall be allowed the cost of any reasonable repairs or improvements made to protect the value of the mortgaged pro­ perty nr to maintain or increase the income from .the mortgaged property; and to the extent that any such sums exceed the income from the mortgaged property they shan be secured with the same priority as the mortgage and when: the mortgage secures the pay­ ment of money shall be added to the principal sum with interest at the same rate as on the pzincipal Gum. (9) A mortgagee in possession shall have power from the date of his possession to collect by action or otherwise any income from the mortgaged property, includi.ng arrears to which he would have been entitled had he owned the mortgaged property since the date orthe mortgage. (10) A mortgagee in possession, unless he otherwise agrees, is not bound by any lease, profit or licence entered into by the mort­ gagor subsequent to the mortgage unless the tenant, profit holder or licensee took his iutere£t as a pu~~ for value without notice of the mortgage. (11) A mortgagee in possession shall be entitled to transfer aU or any part of his interest in the mortgaged property, including his right to possession, as provided in section 13. 18. (I) Upon failure of performance of an act or acts secured Judicial by the mortgage the mortgagee may apply to the court for an order sale. for the judicial sale of the mortgaged property, and upon being satisfied as to the existence of grounds for the application the court shalt, upon such conditions as II deems Just and equnabie, grant an order for judicial sale of all or part of the mortgaged property. (2) In considering what conditions. if any to attach to an order for judicial sale theco urt shall have regard to what opportunity if lIoy the mllrtgHgf"P. has afforded to rhe mn$eor or obligor C'T both to remedy the failure of performance, (3) A judicial sale ordered under this section shall be by public auction unless the mortgagor and aU encumbrancers sub­ sequent to the mortgagee requesting the judicial sare and of whom he has notice at the tIme or the sale agree to .a private sale and the terms of the sale are approved by the court. N.a.c.D.96. 10 MORTGAGES DECREE. 1972 (4) Prior to a judicial sale ordered under this section the mortgagee requesting the judidal sale :.llall give: le:d:>ullaltle: llu(iL't:: of the sale to the mortgagor and every encumbrancer of whom he has notice. (5) Failure to give such reasonable notice shall not affect the judicial sale tlUt shall nmdel'" the m{Jrtelf~ pel'"s(}/lally li!lble for any loss caused thereby. (6) Neither the mortgagor nor any encumbrancer, including the mortgagee who requested the judicial sale and any mortgagee prior or subsequent to him. shall be precluded from purchasing the mortgaged property at a judicial sale ordered under this section: Provided' that a purchase by the mortgagee who requested 1he judicial sale or his nominee shall not take effect until approved by the court. (7) The court ordering the judicial sale may make any order for conveyance. or vesting order, proper for giving effect to the sale. and the court may authorise the registrar or other officer of the court to execute on behatf of the mortgagor and the mortgagee who requested 1111;; judicial sate, a conveyance gniflling till;: lruerests of the mortgagor and mortgagee in the mortgaged property to the purchaserat the judicial sale. (8) The purchaser at a judicial sale ordered under this section !'hAlI t~k... titlf'! to thp. rnnrtga gerl property fre<' of aliinterests to which the mortgage of the mortgagee who requested the judicial sale has priority, and free of thatmortg.1ge. but subject to all interests which have priority to that mortgage, and shall be entitled as against any person to all title documents relating exclusively to the mort­ saw:d property other than those title dOClJmt>ntll haldby II person with an interest having priority to the mortgage of the mortgagee who requested the judicial safe. (9) Notwithstanding any provision to the contrary in the mortJ!:8J!:e a judicial sale ordered under this section shall be the only manner in which a mortgagee may foreclose rights to redeem the mortgaged property, (to) The proceeds from a judicial safe ordered under this section shall, as the court directs, either be deposited in court for di:Sllwution as ordered by the court or shall be herd in trust for distribution by the mortgagee who requested the judicial sale. (1I) Proceeds from a judicial sateshan bedistributed first, it). payment of all expenses nrooerlv incurred as incident to the judicial iale or any prior attem.pt&d judicial sale, secondly, in payment of au sums-secured by the mortgage or with the same priority as the 11 MORTGAGES DECREE, 1972 NoR.C.D. 96. mortgage, thirdly, in payment in the order of priority of any eneum­ branees subsequent to th"t of the m<:>rtga.goe who requested the judicial sale, and the residue to the mortgagor or his successors in interest. (12) Where a mortgagee holding in trust for distribution proceeds from a judicial sale ordered under this section is in doubt as to the proper distribution of all or part of those proceeds he may apply to the court for direction and may if the court so orders deposit the proceeds in court. (13) The title of a purchaser at a judicial sale ordered under this section shall nut be' im;.J:l''1\:h<t.bl= un the ground that the order for the judicial sale was improperly or irregularly ordered. (14) A.ny sale ordered by the court under this section shall not take place until the Q;(piratio.n of thirty days after tbe date of the order, 19. (0 Except as otherwise provided by this or any other enact- Priorities. ment or by express agreement among encumbrancers, priorities among encumbrances shall be in order of time, the first encum brance in time having priority, snbjeet tn the opel'l'ltion of the rules of equity including the rules concerning fraud. estoppel for gross negligence or otherwise, purchasers. for valuable consideration without notice of prior interests and the priority of legal over equitable interests where equities are equal. (2) For the purposes of this section. including application of tne rules of eq uity, notice may be actual or constructive; and a purchaser shall be deemed to have constructive notice of any fact which would have been disclosed by a reasonable inquiry as to: (a) the possession and contents of title documents, (b) the title to the property back to a good root or title more than 20 years old; and (c) the rights of any person occupying the property, ('\) In determining priority among mortgages no tacking shall be allowed. except that a mortgage expressed to secure further advances shall have priority to the full extent of the advances secured over any subsequent encumbrancer unless that eneum­ braneer was a purchaser for valuable consideration without notice of the prior mortgage, (4) rn determining priorities among encumbrances there shaJl be no consolidation of cncumbrances..so- that a mortgagor seeking to redeem anyone mortgage shall beentitled to do so without perform­ ilJg any act secureO by any separate mortgage made by ltim or by any person through whom he claims. solely on the property mort­ gaged by the mortgage which he seW to redeem. Judicial sale in lieu of recemption. Written discharge. 12 MORTGAGES DECREE, 1972 (5) In determining the incidence or obligations secured by mortgage the rules of equity relating to contribution, exoneration and marshalling shall apply. 26. (I) Any person entitled to redeem mortgaged property may redeem by (a) performing all of the acts secured by the mortgage which have yet to be performed; and (6) compensating the mortgagee by payment of interest costs and other expenses due in respect of any failure to have timely performance of the acts secured by the mortgage. (2) A tender of performance and compensation $ufticient to redeem the mortgaged property shall, if refused by the mortgagee, have the effect of reI eving the person offering to redeem from any obligation to pay compensationfor any further delay in performance of the acts secured by the mortgage. (3) Redeusptlou way. bUl ueed nut, lie by au action tvr redemption. 21. Any person entitled to redeem mortgaged property may have an order for judicial sale instead of an order for redemption in an action brought by him ettner for redemption alone, or ror jUdiCial sale alone or for judicial sale or redemption in th;: alternative. 22. (I) A mortgage shall be redeemed upon acceptance or a tender of performance and compensation under section 20 or upon an order tor redemption; but a person who redeems shall be entitled to requite the mortgagee to issue a written discharg~. (2) Where a written discharge is issued to a person other than the mortgagor or the successor to his entire interest in the mort­ gaged property, It shall operate as a transfer of the mortgagee's interest in the mortgage, (3) III a written discharge given under this section the same covenants shall be: implied as if the person who executes the cfu., c:bal"~ had been expressed to ttan~ljr illi morlgap ILlbjcet to any interest prior to the mortgage. PAll't IIl-MISCELLAN'BOmi Model 23. Instruments in the form of the model precedents contained ~ts.. in the Second Schedule. or in similar form or using expressions to a similar efi'ect, shall, in regardto form and expression, he sufficient. MORTGAGES DECR£E.J971 24. (1) In this Decree, unless the contextotherwise requires-­ "encumbrance" includes a mortgage, a lien and a charge; "encumbrancer" includes any person entitled to the benefit of an encumbrance; "mortgagee" includce any 1X1liUIl flUllI thue to tlme Ueriv· ing title through the original mortgagee; "mortgagor" includes any person from time to time deriving WJe through the original mortgagor or entitled to redeem a. mortgage according to hin interest in the mortgaged property; "purchaser" means a purchaser in good faith for valuable consideration and includes a lessee or mortgagee who acquires an interest for valuable ~n!l.jrleration {2) In this Decree (a) a reference to a prior mot!gage or encumbrance is a reference to one that ranks in priority above another mortgage or cucumbrance 00 the llaIIll;; property; (b) a reference to a subsequent mortgage or encumbrance is a reference to one that nuW. in priority below another mortgage or encumbrance on the same pro­ perty. 25. This Decree shall apply to all mortgages created after the Application. commencement of this Decree. 26. This Decree sball como into Coree on the 1st dlly- of January, CuUlill<;'-' 1973. ment, FIRST SCHEDULE (Section 8) lMPUED COVENANTS Par I--lMPum:1C6~ BY' MdJm1,ll1Oll: There shall be bnpned the (oUowil'fgeovemt11ts by themortgagor: 1. That the mortgagor alone, Or with the consent or concurrence of all other persons whose consent or concurrence is required, has ftlll power to mOltgage the property~ to be mortgaged by him in the manner in which it is expressed to bel dIl.'htpged. 14 MORTGAGES DECREE, 1972 2. That if either or both the mortgagee and persons deriving title through the mortgagee lawfully enter into po!>o;e~'1ion of rh.. mort; gaged property, the mortgagor and every person concurring in the mortgage by his direction and every person deriving tide through the mortgagor (other than a person having an interest to which the mortgage is expressly made subject) shall not interfere with, interrupt or disturb the lawful possession of such person in posses­ sion. 3. That the mortgaged property is freed and discharged from, or otherwise by the mortgagor sufficiently indemnified against, all interests, encumbrances. claims and demands whatsoever, other than those to which the mortgage is expressly made subject. 4. That the mortgagor and every person concurring in the mortgage by his direction, and every person deriving tide through any of them, and every other person having or rightfully claiming any Interest in the mortgaged property otner than an interest to which the mortgage is expressly made subject will, from time to time and at all times on the request of the mortgagee or any person deriving title through him, execute and do all such lawful assurances and things for further Or more pertecuy assuring the title to the secunty Interest as such person may reasonably request, the expenses in respect of this covenant to be borne by the mortgagor during the life of the mortgage and thereafter by the person making the request, s. T'hat the mortgagor and ~l'J' person deriving olin illll;ae5t tlu uugh the mortgagor, other than a person having an interest to which the mortgage is expressly made subject, will at all times during the life of the mortgage preserve, protect, repair and maintain the mortgaged property so as not to diminish its value below what is reasonably required lei security for the performance of any act secured by the mortgage but w.llich has yet to be performed, PART II-IMPLIED CoVENANTS BY MORTGAGOR OF LWEHOW PXUl'tilllf . There shall be implied the following covenants by the mortgagort-« L That the lease is at the date of the mortgage a good, valid and cffectuallease of themortgaged property and IS iri full force. unfor­ felted and unsurrendered, and bas not become void or voidable, 2. That all the rents reserved by, and all the covenants, conditions and agreements contained in, the lease and to be paid. observed or ~ormed by the mortgagor and persons deriving title through him have been paid, observed wu1 perrormed up to the time of the mortgage. IS MORTGAGES DECREE, 1972 N.R.CD. 96. 3. Tha; ibe llJLJJ Ig1l8l.JI', 01 the pt:I"SUIl dt:;l iving titl<; through him, will at all times during the continuance in force of the mortgage pay, observe and perform or cause to bepaid, observed and performed, all rents reserved by the lease and all covenants, conditions and agreements contained in the; lease, which he or they are bound to pay, observe and perform. SECOND SCHEDULE MODEL PRECEDENTS (Section 23) Fotu( I FORM OF MORTCACE THIS MORTGAGE is made the 1st day of January, 1974 between the mortgagor JOliN MtNSAIi of I. Adabraka Road. Accra in the Eastern Region of Ghana and he mortgagee PHIUP ARCHER of Cantonments Hill, Accra aforesaid. 1. By a conveyance made the 1st day of June, 1965 between James Bruce of Accra and the mortgagor (registered number 6543/65) the property known as James Fort, Accra (hereinafter called "the property") was conveyed to the m ortgagor for ever. 2. Tn consideration of the sum of five thousand cedis (SZS,OOO) now paid by the mortgagee to the mortgagor (the receipt of whichthe mortgagor hereby acknowledges), the mortgagor covenants with the mortgagee to pay (here state me termslor repayment Ofprtnetpa! ana inrereSl). 3. The mortgagor hereby mortgages the property to the nwrtga,gee to secure payment of the principal money, interest and other money hereby cove. nanted to be paid by the mortgagor. 4. [Add covenant to insure buildings andany other provisions desired} 5. The property consists of a house and land bounded [description of bounda,.ies] and is indicated by the colour red on the plan attached to the afore­ mentioned conveyance whichshows the relevant measurements. Signed by JOHN MENSAH j'n the presence of: Signed by PHIlIP ARCHER in the presenceof: O~/AY1114/1(tJ16172 N.R.C.D%, MORTGAGES DECREE, /972 F0RM II FOR.\l or TRItNSfUl. or Morn'GAoE THiS TR.M:!;FtR Of\lOfHGAGE is made the Ist dav of June, 1974 between the transferor PH1I.ll' AitCfJf:R of Call1onmcn15 Hill, ACcra in the Eastern Region of Ghana and the tra nsleree "l·il eLl.~ ~.l AQeHER of 99, Marine Drive, Accra ato resaid. L This Transfer I;, supplement::!] to a mortgage made the bt day of January. 1974 between Juhn ;v':c!lsah of Accra and the transferor (registered number 100/74> upon the property known as James Fort, AC.,;f;::. 2, In consideration of i :\~ ,Ulll~ of [our thousand cedis (:4,000) and five hundred cedis (!2"500) n~ )\\' p:tiu by the: transferee [0 the tfQ'hfaOf, being the respcccivc 41l10U:1: ,; of 1i,(; pJ"i' leipill mo ncy and intcrczt IIov ,) i'\'[flg ill respect of the said m<l;t~'.ai!';;; (die rcc;;:ipl 01' w]/ich sums the tr"iFi"eror hereby ackuow­ ledges), the transferor hereby transfers to the transferee the benefit of the said mortgage and all his rights thereunder. Signed by PHiUP ARCHER in the presence of: Signed by WILLIAM ARCHER in the presence of: FonM UI~FORM at' DISCHARGE OF MURfliAU!O THIS DlSCltARGE Of MORTGAGE is made the 1st day of January, 1980 by WILLIAM ARcnER of 99, Marine Drive, Accra in the Eastern Region of Ghana. 1. This Discharge is supplemental to II mortgage made the Ist day of January, 1974 between John Mensah of Accra and Philip Archer of Accra (registered number 100/74) upon the property known as James Fort, Accra, and to a transfer of the said mortgage made the Ist day of June, 1974 between the- aforesaid Philip Archer and myself (registered number 250j74). 2. I, William Archer of Accra nen!)y acknowledge that r have this lst day of January, 19W received the sum of one hundred cedis W IOU) representing the balance remaining owing in respect of the principal money secured by the said mortgage together with all interest and costs. 3. The property is accordingly discharged from the said mortgage. Sigl1ad by WILLIAM Ancnrn in the presence of: Made this 4th day of August. 1972. COLONEL I. K. ACHEAMPONG Chairman of the National Redemption Council Date of Oaze!!t' Ilofifita!ion: 18th August, 1972. .~----~~-----~---~~. . -~. - . PR.rtLrT£D D\' T1U:: Gu..u·,,'J\ -!"'--"l.H.l3HJ~"'(} C:-01'\.f'"Oi\.A'tlOl..,j[ (:fI'Rli"..rtU\o Plvrs.H.}N.)~- "CClI"'-Tnt~, OH4NA