506. Consolidation where securities originally in favour of different mortgagees.

506.     Consolidation where securities originally in favour of different mortgagees.

For the purposes of the right of consolidation1 it is not necessary that the securities should have been created originally in favour of the same mortgagee. The right exists where mortgages given to different mortgagees subsequently become vested in the same person2. There must be, however, an actual union of the securities in one person. A mortgage to one mortgagee will not be treated as consolidated with a mortgage to the same person and another on a joint account3.