"Mortgage by conditional sale"
Sec.58 (c) of the Transfer of Property Act, 1882
"When the mortgagor ostensibly sells the mortgaged property --
(i) on condition that on default of payment of the mortgage money on a certain date the sale shall become absolute, or
(ii) on condition that on such payment being made the sale shall become void; or
(iii) on condition that on such payment being made the buyer shall transfer the property to the seller,
-- the transaction is called a mortgage by conditional sale.
Provided that no such transaction shall be deemed to be a mortgage, unless the condition is embodied in the document which effects or purports to effect the sale.
No comments:
Post a Comment