Australian Capital Territory Consolidated Acts

CIVIL LAW (PROPERTY) ACT 2006 - SECT 317

    (1)     This section applies if—

        (a)     a person entitled to receive payment of all or part of a debt secured by a mortgage—

              (i)     cannot be found; or

              (ii)     is unknown; or

        (b)     it is uncertain who is entitled to receive all or part of the debt secured by a mortgage.

    (2)     On application by the person entitled to redeem the mortgaged property, the Supreme Court may, by order, direct that—

        (a)     the amount of the debt secured by the mortgage, or part of it, be worked out in the way the court directs; and

        (b)     the amount worked out be paid into court.

    (3)     A certificate of the registrar of the Supreme Court that a payment into court was ordered to be made under subsection (2) (b) and has been made may be registered with the registrar-general.

    (4)     On registration, the amount paid is a discharge of the mortgage debt, or part of it, to the extent of the amount paid.

    (5)     However, an amount that is eventually shown by the person entitled to the mortgage debt, or a part of it, to have been in fact owing in addition to the amount paid into court continues to be a debt owing on the mortgage.

    (6)     On application by the person entitled to an amount paid into court under subsection (2) (b), the Supreme Court may order the amount be paid to the person.

    (7)     However, an amount must not be paid under subsection (6) until the registrar of the Supreme Court is satisfied that the mortgage document and all documents of title that were given by the mortgagor to the mortgagee for the mortgage have been given to the person who paid the amount into court.

    (8)     If the amount of principal and interest owing under a mortgage is paid into court under this section and is afterwards paid under an order of the Supreme Court to the person mentioned in the order, the order operates as a discharge of mortgage of any land subject to the mortgage.

    (9)     An order mentioned in subsection (8) takes effect as a discharge of mortgage only when it has been registered by the registrar-general.