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    Question

    When the mortgaged property is at lease and is renewed

    by mortgagor:
    A Mortgagee shall be entitled to new lease Correct Answer Incorrect Answer
    B Mortgagee shall be entitled to new lease as a security. Correct Answer Incorrect Answer
    C Mortgagee is not entitled to new lease. Correct Answer Incorrect Answer
    D Mortgagee is entitled to it only after redemption, if principle amount not payed to him. Correct Answer Incorrect Answer

    Solution

    As per S.71. Renewal of mortgaged lease.β€”When the mortgaged property is as lease and the mortgagor obtains a renewal of the lease, the mortgagee, in the absence of a contract to the contrary, shall, for the purposes of the security, be entitled to the new lease. Β 

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