Question
Where a person delivers to a creditor documents of title
to immovable property, with intent to create a security, the transaction is calledSolution
Transfer of Property Act: Section 58Ā Mortgage , mortgagor, mortgagee, mortgage-money and mortgage- deed defined: ( f)Ā Mortgage by deposit of title-deeds.-- Where a person in any of the following towns, namely, the towns of Calcutta, MadrasĀ and Bombay,Ā and in any other town which theĀ 8[State Government concerned] may, by notification in the Official Gazette, specify in this behalf, delivers to a creditor or his agent documents of title to immoveable property, with intent to create a security thereon, the transaction is called a mortgage by deposit of title-deeds.
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