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Appendix D Preliminary Decree For Redemption Of Prior Mortgage And Foreclosure Or Sale On Subsequent Mortgage - Legal Draft

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Category : Agreements Civil Procedure Code

[Plaintiff.................................................................2nd

Mortgagee,vs.Defendant

No.1...........................................................MortgagerDefendant

No.2...........................................................1st Mortgage]

1.

The

suit coming on this day, etc.; It is hereby declared that the amount due to

defendant No.2 on the mortgage mentioned in the plaint calculated up to this

day of is the sum of Rs. for principal, the sum of Rs. for interest on the said

principal, the sum of Rs. for costs, charges and expenses (other than the costs

of the suit) properly incurred by defendant No.2 in respect of the

mortgage-security with interest thereon and the sum of Rs. for the costs of

this suit awarded to defendant No.2, making in all the sum of Rs.(Similar

declarations to be introduced with regard to the amount due from defendant No.1

to the plaint)] in respect of his mortgage if the mortgage-money due thereunder

has become payable at the date of the suit.)1.1.1.1.1.2. It is further

declared that defendant No.2 is entitled to payment of the amount due to him in

priority to the plaintiff {Words not required to be deleted} [or (if there are

several sub-sequent mortgagees) that the several parties hereto are entitled in

the following order to the payment of the sums due to them respectively:-- ].3. And it is hereby

ordered and decreed as follows:--i.

that

the plaintiff or defendant No.1 or one of them do pay into Court on or before

the day of or any later date up to which time for payment has been extended by

the Court the said sum of Rs. due to defendant No.2; and pay into Court on or

before the day of or any later date up to which time for payment has been

extended by the Court the said sum of Rs. due to the plaintiff; andii.ii.

that,

either of them in the manner prescribed in clause (i) (a) and on payment

thereafter before such date as the Court may fix of such amount as the Court

may adjudge due in respect of such costs of the suit and such costs, charges

and expenses as may be payable under rule 10 together with such subsequent

interest as may be payable under rule 11, of Order XXXIV of the First Schedule

to the Code of Civil Procedure, 1908, defendant No.2 shall bring into Court all

documents in his possess on or power relating to the mortgaged property in the

plaint mentioned, and all such documents shall be delivered over to the plaintiff

or defendant on payment of the sum declared due to defendant No.2 by the

plaintiff and defendant No.1 or No.1 (whoever has made the payment), of to such

person as he appoints, and defendant No.2 shall if so required, re-convey or

re-transfer the said property free from the said mortgage and clear of and from

all in cumbrances created by defendant No.2 or any person claiming under him or

any person -under whom he claims, and also free from all liability whatsoever

arising from the mortgage or this suit and shall, if so required deliver up to

the plaintiff or defendant No.1 (whoever has made the payment) quiet and

peaceable possession of the said property.(Similar

declarations to be introduced, if defendant No.1 pays the amount found or

declared due to the plaintiff] with such variations as may be necessary having

regard to the nature of his mortgage.)1.2.3.4. And it is hereby

further ordered and decreed that, in default of payment as aforesaid, of the

amount due to defendant No.2, defendant No.2 shall be at liberty to apply to

the Court that the suit be dismissed or for a final decree--i.

{Words

not required to be deleted} [in the case of a mortgage by conditional sale or

on anomalous mortgage where the only remedy provided for in the mortgage-deed

is foreclosure and not sale] that the plaintiff and defendant No.1 jointly and

severally shall henceforth stand absolutely debarred and foreclosed of and from

all right to redeem the mortgaged property described in the Schedule annexed

hereto and shall, if so required, deliver to the defendant No.2 quiet and

peaceable possession of the property; orii.

{Words

not required to be deleted} (in the case of any other mortgage) that the

mortgaged property or a sufficient part thereof shall be sold; and that for the

purposes of such sale defendant No.2 shall produce before the Court or such

officer as it appoints, all documents in his possession or power relating to

the mortgaged property; andiii.

{Words

not required to be deleted} [in the case where a sale is ordered under clause 4

(ii) above] that the money realised by such sale shall be paid into Court and

be duly applied (after deduction there from of the expenses of the sale) in

payment of the amount payable to defendant No.2 under the decree and any

further orders that may be passed in this suit and in payment of the amount

which the Court may adjudge due to defendant No.2 in respect of such costs of

the suit and such costs, charges and expenses as may be payable to the

plaintiff under rule 10, together with such subsequent interest as may be

payable under rule 11, of Order XXXIV of the First Schedule to the Code of

Civil Procedure, 1908, and that the balance, if any, shall be applied in

payment of the amount due to the plaintiff and that, if any balance be left, it

shall be paid to defendant No.1 or other persons entitled to receive the same;

andiv.

that,

if the money realised by such sale shall not be sufficient for payment in full

of the amounts due to defendant No.2 and the plaintiff, defendant No.2 or the

plaintiff or both of them, as the case may be, shall be at liberty (when such

remedy is open under the terms of their respective mortgages and is not barred

by any leave for the time being in force) to apply for a personal decree

against defendant No.1 for the amounts remaining due to them respectively.1.2.3.4.5. And it is hereby

further ordered and decreed,--a. that, if the

plaintiff pays into Court to the credit of this suit the amount adjudged due to

defendant No.2 but defendant No.1 makes default in the payment of the said

amount, the plaintiff shall be at liberty to apply to the Court to keep

defendant No.2's mortgage alive for his benefit and to apply for a final decree

(in the same manner as the defendant No.2 might have done under clause 4

above)--{Words

not required to be deleted} [ (i) that defendant No.1 shall thenceforth stand

absolutely debarred and foreclosed of and from all right to redeem the

mortgaged property described in the Schedule annexed hereto and shall, if so

required, deliver up to the plaintiff quiet and peaceable possession of the

said property;] or{Words

not required to be deleted} [ (ii) that the mortgaged property or a sufficient

part thereof be sold and that for the purposes of such sale the plaintiff shall

produce before the Court or such officer as it appoints, all documents in his

possession or power relating to the mortgage property;]and(if

on the application of defendant No.2 such a final decree for foreclosure is

passed), that the whole of the liability of defendant No.1 arising from the

plaintiff' mortgage or from the mortgage of defendant No.2 or from this suit

shall be deemed to have been discharge and extinguished.1.2.3.4.5.1.2.3.4.5.6. And it is hereby

further ordered and decreed (in the case where a sale is ordered under clause 5

above)--i.

that

the money realised by such sale shall be paid in Court and be duly applied

(after deduction therefrom of the expenses of the sale) first in payment of the

amount paid by the plaintiff in respect of defendant No.2's mortgage and the

costs of the suit in connection therewith and in payment of the amount which

the Court may adjudge due in respect of subsequent interest on the said amount;

and that the balance, if any, shall then be applied in payment of the amount

adjudged due to the plaintiff in respect of his own mortgage under this decree

and any further orders that may be passed and in payment of the amount which

the Court may adjudge due in respect of such costs of the suit and such costs,

charges and expenses as may be payable to the plaintiff under rule 10, together

with such subsequent interest as may be payable under rule 11, of Order XXXIV

of the First Schedule to the Code of Civil Procedure, 1908, and that the

balance, if any, shall be paid to defendant No.1 or other persons entitled to

receive the same; andii.

that,

if the money realised by such sale shall not be sufficient for payment in full

of the amount due in respect of defendant No.2's mortgage or the plaintiff's

mortgage, defendant No.2 shall be at liberty (where such remedy is open to him

under the terms of his mortgage and is not barred by any law for the time being

in force) to apply for a personal decree against defendant No.1 for the amount

of the balance.5.6.7. And it is hereby

further ordered and decreed that the parties are at liberty to apply to the

Court from time to time as they may have occasion, and on such application or

otherwise the Court may give such directions as it thinks fit.


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