New South Wales Consolidated Acts

CONVEYANCING ACT 1919 - SECT 92

92 Mortgagee accepting interest on overdue mortgage not to call up without notice

(1) Where the mortgagor has made default in payment of the principal sum at the expiry of the term of the mortgage, or of any period for which it has been renewed or extended, and the mortgagee has accepted interest on the said sum for any period (not being less than three months) after default has been so made, then, so long as the mortgagor performs and observes all covenants expressed or implied in the mortgage, other than the covenant for payment of the principal sum, the mortgagee shall not be entitled to take proceedings to compel payment of the said sum, or for foreclosure, or to enter into possession, or to exercise any power of sale, without giving to the mortgagor three months' notice of his or her intention so to do.

(2) No purchaser from the mortgagee exercising his or her power of sale shall be concerned to inquire whether the mortgagee has accepted interest as aforesaid after such default.

(3) This section applies to mortgages under the Real Property Act 1900 .

(4) This section shall have effect notwithstanding any stipulation to the contrary.