Practice question
A foreclosure application proves the mortgaged property is being materially wasted and its value is probably insufficient for the mortgage debt. Which Section1(b) pathway is directly relevant?
- The specified foreclosure preservation ground
- Automatic cancellation of the mortgage
- A compulsory new loan
- Only an unrelated employment action
- A categorical rule against receivers
Legal references
- Rules of Court specified Rules58–61: https://lawphil.net/courts/rules/rc_1-71_civil.html Rule59 Sections1(b),3,5–7.
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