Section 203 — Property Law Act 2007: Person who accepts transfer, assignment, or transmission of land personally liable to mortgagee

203 Person who accepts transfer, assignment, or transmission of land personally liable to mortgagee (1) If a person accepts, subject to a mortgage, a transfer, assignment, or transmission of mortgaged land,— (a) the person becomes personally liable to the mortgagee— (i) for the payment of all amounts and the performance of all obligations secured by the mortgage; and (ii) for the observance and performance of all other covenants expressed or implied in the mortgage; and (b) the mortgagee has all remedies under or in connection with the mortgage directly against that person as if that person were the person who gave the mortgage. (2) Subsection (1) applies whether or not the person who accepts the transfer, assignment, or transmission has signed the instrument of transfer, assignment, or transmission. (3) Subsection (1) is subject to anything to the contrary expressed or implied in the mortgage or any other instrument. (4) For the purposes of subsection (1), amounts secured by a mortgage do not include advances made by the mortgagee to a former mortgagor at any time after the mortgagee had actual notice of the transfer, assignment, or transmission of the land to the current mortgagor, or any intermediate former mortgagor, as the case may be, unless the mortgagee was under an obligation to make the advance— (a) when the mortgagee received actual notice of the transfer, assignment, or transmission; and (b) when the advance was made. Compare: 1952 No 51 s 104(1)