If the property is sold, the mortgage follows it into the hands of the third party purchaser. The third-party purchaser is thus obliged, within the limit of the registrations, for the entire secured debt, in capital and interest, whatever the amount. If it remains unpaid, the mortgagee may take legal action for the sale of the mortgaged property under the conditions set out in Book III of the code des…
A third-party purchaser who is not personally liable for the debt may oppose the sale of the property if other properties mortgaged to the same debt are still in the possession of the principal debtor, and request prior discussion of the matter in accordance with the procedure laid down in Chapter I of Title I of Book IV of this Code. During this discussion, the sale of the mortgaged property…
Once summoned to pay, and without prejudice to the benefit of discussion provided for in the preceding article, the third-party purchaser may: -either pay, -or purge the property in accordance with the rules set out in the following sub-section, -or allow itself to be seized.
The third party purchaser must compensate the mortgagee for the loss resulting from any deterioration that has reduced the value of the property through his own act or fault. However, he may obtain reimbursement, by deduction from the sale price, of his expenses necessary for the conservation of the immovable and of those which have increased its value, up to the limit of the estimated increase in value on the…
If the sale price exceeds the mortgage debt, the difference is for the third-party purchaser, except for the rights of his creditors registered on the property.
After the sale, the third-party purchaser regains the real rights, in particular easements, that he had over the building before he acquired it.
The third-party purchaser who has paid the mortgage debt, or suffered the seizure of the mortgaged property, has a recourse in warranty under the conditions of ordinary law and a subrogatory recourse against the principal debtor.
The property is, ipso jure, purged of the droit de suite attached to the mortgage in the cases provided for by law, in particular the sale on seizure of property, expropriation for public utility or the situations provided for in Books VI of the code de commerceor VII of the code de la consommation.
The mere publication at the service responsible for land registration of deeds transferring ownership does not purge the mortgages established on the property. The seller only transfers to the purchaser the ownership and rights that he himself had over the thing sold: he transfers them under the assignment of the same mortgages with which the thing sold was encumbered.
Where, on the sale of a mortgaged immovable, all the registered creditors agree with the debtor that the price will be applied to the total or partial payment of their claims or some of them, they exercise their preferential right over the price and they may enforce it against any transferee as well as against any creditor seizing the price claim. By the effect of this payment, the immovable is…
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is a Registered Trademark of
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182, rue de Rivoli
75001, Paris France
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Paris Bar Registration n° (Toque) C2396
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