Victorian Consolidated Legislation

Sale of Land Act 1962 - SECT 8

PART I SALE OF LAND
land * * * * * * * * * * * * * * * * * * * *

Apportionment of mortgage moneys where land subdivided

8. Apportionment of mortgage moneys where land subdivided



(1) Where any land which is subject to a mortgage is or has been subdivided
into separate lots or parcels the mortgagor may require the mortgagee to
apportion the mortgage moneys to the respective lots or parcels of land which
are subject to the mortgage.

(2) If the mortgagee fails to apportion the mortgage moneys to the respective
lots or parcels or if the mortgagor is dissatisfied with the proposed
apportionment the mortgagor may apply to an arbitrator for a determination as
to the amount to be apportioned to each such lot or parcel.

(3) Where the mortgage moneys have been apportioned to the respective lots or
parcels pursuant to this section the mortgagee shall on tender of-

   (a)  the amount apportioned to any particular lot or parcel; or





   (b)  a registrable instrument of mortgage to secure payment of all moneys
        apportioned to that lot or parcel-

execute and deliver to the mortgagor a discharge of the first-mentioned
mortgage in so far as it relates to that lot or parcel.

(4) A mortgage tendered under this section shall contain all such powers in
favour of the mortgagee and all such covenants on the part of the mortgagor as
are usual in mortgages and shall fully accord with and provide for the
observance of all obligations of the mortgagor pursuant to the mortgage to be
discharged and shall be prepared and registered at the cost of the mortgagor.

(5) Any question as to the sufficiency of any instrument of mortgage tendered
pursuant to this section shall in the absence of agreement between the parties
be determined by an arbitrator.