397. Consolidation.

Consolidation is the right of a lender to refuse to allow a mortgage on one property to be redeemed unless a mortgage on another property (or properties) is also redeemed1. It is an equitable doctrine, based on the principle that it would be unfair to allow a borrower to

redeem a mortgage over a valuable property and leave the lender with security on another property which was not worth the amount of the loan2


As the right of consolidation is equitable, it only arises after there has been default on all the securities in respect of which it is claimed