Which of the following option adds a correct

explanation/extension of the principle of priority under the Transfer of Property Act ?

A It is never lost Correct Answer Incorrect Answer

B It is never lost fully. Correct Answer Incorrect Answer

C It is lost due to negligence of prior mortgagee. Correct Answer Incorrect Answer

D It is lost due to negligence of subsequent mortgagee. Correct Answer Incorrect Answer

E It is lost due to negligence of mortgagor. Correct Answer Incorrect Answer

Solution

S. 78 postponement of prior mortgagee. Where, through the fraud, misrepresentation or gross neglect of prior mortgagee, another person has been induced to advance money on the security of the mortgaged property, the prior mortgagee shall be postponed to the subsequent mortgagee.

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