Section Sch2-9-dup2 — Property Law Act 2007: Power to call up amounts secured

9 Power to call up amounts secured (1) The mortgagee may, by notice served on the mortgagor, call up as payable all of the principal amount, interest, and other amounts for the time being secured by the mortgage (even if the time or times appointed for payment may not have arrived) 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 mortgagor sells, assigns, exchanges, parts with possession of, or otherwise disposes of the mortgaged goods or any of them without the prior written consent of the mortgagee; or (d) the mortgagor agrees to do any of the things referred to in paragraph (c) without the prior written consent of the mortgagee; or (e) the mortgagor becomes bankrupt or, in the case of a company, is placed in liquidation or, in the case of an overseas company, is being liquidated under section 342 of the Companies Act 1993; or (f) the mortgagor is a body corporate and, as a result of all or any of the following, the effective management or control of the body corporate is materially different from that when the mortgage was executed: (i) a change in the legal or beneficial ownership of any of its shares: (ii) an issue of new capital: (iii) an alteration of voting rights or other rights attaching to any of its shares; or (g) the mortgagor is a body corporate and a receiver or statutory manager is appointed for all, or substantially all, of the assets of the mortgagor or for the mortgaged goods or any of them; or (h) the mortgaged goods or any of them are sold in exercise of a power of sale in any other mortgage or encumbrance over the goods. (2) If, under subclause (1), the mortgagee calls up as payable amounts secured by the mortgage, the mortgagee may require the mortgagor to pay 1 month’s premium interest calculated at the agreed rate (if any) payable on the principal amount secured by the mortgage (in addition to all other interest payable under the mortgage to the date of payment of all amounts secured by the mortgage). (3) Subclause (2) does not apply in relation to a consumer credit contract (as defined in the Credit Contracts and Consumer Finance Act 2003 ). (4) No acquiescence, delay, or failure to act by the mortgagee after acquiring knowledge of any failure of the mortgagor or other event referred to in subclause (1) prejudices, or operates as a waiver of, the rights of the mortgagee under this clause. (5) The mortgagee may agree in writing to waive the rights of the mortgagee under this clause in relation to a particular failure of the mortgagor or a particular event referred to in subclause (1). (6) However, a waiver under subclause (5) relates only to the failure or event concerned and does not prejudice, or operate as a waiver of, the rights of the mortgagee for any failure or event that may occur in the future.