162. Mortgages of leaseholds.

Before 1926, a legal mortgage of leasehold property was made either by way of assignment of the whole term or by way of sub-demise. The former method was adopted only when the rent was small and the lessee's covenants were not burdensome, for the effect of an assignment was to establish a privity between the lessor and the mortgagee, so that the mortgagee could be sued for breach of covenant1. The alternative course was to demise the property to the mortgagee for the whole of the term, less one or more days2. Under this form of security the mortgagee