Land And Conveyancing Law Reform Act 2009

93.

Transfer in lieu of discharge.

93.— (1) A mortgagor who is entitled to redeem may, subject to compliance with the terms on which the mortgagor would be entitled to require a discharge, require the mortgagee, instead of discharging the mortgage, to assign the mortgage debt and transfer the mortgage to any third person, as the mortgagor directs, and on the mortgagor so directing, the mortgagee is bound to assign and transfer accordingly.

[CA 1881, s. 15][CA 1882, s. 12]

(2) The rights conferred by subsection (1) belong to and may be enforced by each incumbrancer or the mortgagor notwithstanding any intermediate incumbrance, but a requisition of an incumbrancer prevails over a requisition of the mortgagor and, as between incumbrancers, a requisition of a prior incumbrancer prevails over a requisition of a subsequent incumbrancer.

(3) This section—

( a) does not apply in the case of a mortgagee being or having been in possession,

( b) applies notwithstanding any stipulation to the contrary.