Online Encyclopedia

Search over 40,000 articles from the original, classic Encyclopedia Britannica, 11th Edition.

FORECLOSURE

Online Encyclopedia
Originally appearing in Volume V10, Page 644 of the 1911 Encyclopedia Britannica.
» Make a correction to this article.
» Add information or comments to this article.
Spread the word: del.icio.us del.icio.us it!

FORECLOSURE , in the See also:

law of See also:mortgage; the extinguishment by See also:order of the See also:court of a mortgagor's See also:equity of redemption. In the law of equity the See also:object of every mortgage transaction is eventually the repayment of a See also:debt, the mortgaged See also:property being incidental by way of See also:security. Therefore, although the See also:day named for repayment of the See also:loan has passed and the mortgagor's See also:estate is consequently forfeited, equity steps in to mitigate the harshness. of the See also:common law, and will See also:decree a reconveyance of the mortgaged property on See also:payment of the See also:principal, See also:interest and See also:costs. This-right of the mortgagor to See also:relief is termed his " equity of redemption." But the right must be exercised within a reasonable See also:time, :otherwise he will be •foreclosed his equity of redemption and the mortgagee's See also:possession converted into an See also:absolute ownership. Such fore-See also:closure is enforced in equity by a foreclosure See also:action. An action is brought • by the mortgagee against the mortgagor in the See also:chancery See also:division of the High Court in See also:England, claiming that an See also:account may be taken of the principal and interest due to the mortgagee, and that the mortgagor may be directed to pay the same, with costs, by a day to be appointed by the court and that in See also:default thereof he may be foreclosed his equity of redemption. See also:English See also:county courts have See also:jurisdiction in fore-closure actions where the mortgage or See also:charge does not exceed £Soo; or where the mortgage is for more than Soo, but less than that sum has been actually advanced. In a Welsh mortgage there is no right to foreclosure.

End of Article: FORECLOSURE

Additional information and Comments

There are no comments yet for this article.
» Add information or comments to this article.
Please link directly to this article:
Highlight the code below, right click, and select "copy." Then paste it into your website, email, or other HTML.
Site content, images, and layout Copyright © 2006 - Net Industries, worldwide.
Do not copy, download, transfer, or otherwise replicate the site content in whole or in part.

Links to articles and home page are always encouraged.

[back]
FORDUN, JOHN OF (d. c. 1384) 		[next]
FOREIGN

Site © 2006 - Net Industries