Practice question
Validly mortgaged land is transferred while the mortgage remains effective. The buyer claims change of owner alone removes the charge. Which is best?
- Every sale automatically cancels every mortgage.
- A buyer may privately erase registered rights.
- Only physical occupation determines the secured debt.
- The property-directed mortgage remains subject to the actual 2126 framework.
- The transfer necessarily makes the creditor owner.
Legal references
- Civil Code Articles2052,2056-2057,2066,2071-2084 and2126-2130: https://lawphil.net/statutes/repacts/ra1949/ra_386_1949.html
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