413. Consent of seller's lender to sale of part.

Where the land to be sold comprises part of the land which is mortgaged to the seller's lender, the seller must obtain his lender's consent to the transaction1. The lender may require repayment of the whole or part of the principal sums owing out of the proceeds of the sale of the part.

Arrangements must be made for the lender to discharge the land being sold from the mortgage. As regards registered land, the discharge is in Form DS3 (accompanied by a plan to show the extent of the land being released if not sufficiently defined on the title plan)