Section Sch2-13 — Property Law Act 2007: Power of sale

13 Power of sale (1) The mortgagee, or any receiver appointed by the mortgagee under the mortgage, may sell the whole or any part of the mortgaged land if the mortgagor— (a) fails to pay any amounts secured by the mortgage on the due date; or (b) fails to perform or observe any covenant expressed or implied in the mortgage. (2) The mortgagee is not obliged to account for or apply the proceeds arising from the sale of mortgaged land 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 land 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 the mortgaged land entered into by the mortgagee or a receiver is cancelled,— (a) the mortgagee is entitled to make to the purchaser all allowances or refunds that 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. Compare: 1952 No 51 Schedule 4 cl 8