Section 35 Mortgage and Property Law of Lagos State

Section 35 of the Mortgage and Property Law of Lagos State 2010 is about Powers incidental to estate or interest of mortgagee to sell, insure, appoint receiver, etc. It provides as follows:

(1) A mortgagee shall by virtue of this law, have the following powers to the like extent as if they had been in terms conferred by the mortgage deed but
not further –

(i) a power, when the mortgage money has become due, to sell or to concur with any other person selling, the mortgaged property , or any part of it , either subject to prior charges or not, and either together or in lots, by public auction or by
private contract, subject to such conditions in respect of title or evidence of title, or other matter as the mortgagee thinks fit, with power to vary any contract for sale, and to buy in it an auction, or to rescind any contract for sale and to resell;

(ii) a power, at any time after the date of the mortgage, to insure and keep insured against lost or damage by fire any building or any effect or property of an insurable nature , whether affixed to the freehold or not, being or forming part of the property which or an estate of interest wherein is a mortgaged and premiums paid or any such insurance shall be a charge on the mortgaged property or estate or interest, in addition to the mortgage money, and the sane priority and with interest at the same rate as the mortgagee money;

(iii) a power, when the mortgage money has become due to appoint a receiver of the income of the mortgaged property, or any part of it, or , if the mortgaged property consist s of an interest in income or an annual or other periodical sum a receiver of that property or any part thereof and

(iv) a power, while the mortgage is in possession, to cut and sell timber and other trees ripe for cutting and not planted or left standing for shelter or an ornament or to contract for any such cutting and sale to be completed within any time not exceeding twelve (12) months from the making of the contract.

(2) Where the mortgage deed is executed after the commencement of this Law, the power of sale mentioned includes the following powers as incident to it –
(i) a power to impose or reserve or make binding, as far as the law permits, by covenant, condition or otherwise on the unsold part of the mortgage property or nay part of it, or on the purchase and any property sold any restriction or reservation with respect to building on other user of land or with respect to any other thing;

(ii) a power to sell he mortgaged property, or any part it –

(a) With or without a grant or reservation rights of way, rights of water, easement, rights and privileges for or connected with the building or other purposes in relation to the property remaining in the mortgage or any part here of, or to any property.

(b) With or without covenants by the purchaser to expend money on the land sold.

(3) The provisions of this law relating to the power earlier conferred either in this section or in any section regulating the exercise of those powers, may be varied or extended by the mortgage deed, and as so varied or extended shall as far as may be possible, operate in the like manner and with all the like incidents, effect and consequences as if such variation or extensions were contained in this law.

(4) This section applies only if and as far as a contrary intention is not expressed in the mortgage deed, and has effect subject to the terms of thee mortgage deed to the provisions contained in it.

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