Section Sch2-11-dup2 — Property Law Act 2007: Power of sale

11 Power of sale (1) The mortgagee may sell all or any of the mortgaged goods if— (a) the mortgagor fails to pay any amounts secured by the mortgage on the due date; or (b) the mortgagor fails to perform or observe any covenant expressed or implied in the mortgage; or (c) the goods are at risk. (2) The mortgagee is not obliged to account for or apply the proceeds arising from the sale of mortgaged goods unless and until the mortgagee actually receives payment of them. (3) The mortgagor remains liable to the mortgagee for the amount by which the proceeds arising from the sale of mortgaged goods and available to a mortgagee in accordance with section 185 of the Property Law Act 2007 is less than the amounts then secured by the mortgage. (4) If a contract for the sale of any mortgaged goods entered into by the mortgagee is cancelled,— (a) the mortgagee is entitled to make to the purchaser all allowances or refunds as the purchaser may be entitled to receive, at law or in equity, upon the cancellation of the contract; and (b) the mortgagee is not responsible for any act or thing done or omitted by any purchaser; and (c) the mortgagee is not obliged to enforce against the purchaser any right or power contained or implied in the contract of sale. (5) The mortgagee’s costs and expenses arising out of the cancellation or the exercise or any attempted exercise by the mortgagee of rights and powers against any purchaser will be borne by the mortgagor.