Prior Mortgage Redemption Decree Template India

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Decree for Redemption of Prior Mortgage and Foreclosure or Sale on Subsequent Mortgage (Order XXXIV, Rules 2, 3 and 4) Format

Need a precise Decree for Redemption of Prior Mortgage and Foreclosure or Sale on Subsequent Mortgage (Order XXXIV, Rules 2, 3 and 4) Format for your mortgage dispute in India? Download our ready-to-use, customizable legal template in PDF or Word format today and ensure compliance with the Code of Civil Procedure (CPC).

In complex mortgage scenarios involving prior and subsequent encumbrances, courts issue this specialized decree under Order XXXIV, Rules 2, 3, and 4 of the CPC, 1908. It governs suits where a mortgagor seeks redemption of a prior mortgage while the mortgagee of a subsequent mortgage pushes for foreclosure or sale of the property. This Decree for Redemption of Prior Mortgage and Foreclosure or Sale on Subsequent Mortgage (Order XXXIV, Rules 2, 3 and 4) Format provides a structured court order that balances the rights of all parties, preventing unjust enrichment or loss.

Why is this Decree Important?

This decree is crucial in Indian civil litigation for mortgage redemption and enforcement. It mandates preliminary and final decrees, setting clear timelines for redemption payments, foreclosure proceedings, or public auctions. Failing to adhere to its format can lead to procedural errors, delays, or decree challenges. Key benefits include:

Statutory compliance with CPC Order XXXIV, ensuring enforceability.
Protection for subsequent mortgagees' rights during prior mortgage redemption.
Clear directives on interest, costs, and property sale proceeds distribution.
Ready-to-use format saves time for lawyers drafting in high court or district court suits.

Ideal for use in India, this Decree for Redemption of Prior Mortgage Format meets court requirements and is customizable for specific case details.

Key Elements of the Decree Format

A standard Decree for Redemption of Prior Mortgage and Foreclosure or Sale on Subsequent Mortgage (Order XXXIV, Rules 2, 3 and 4) Format includes:

Parties Involved: Plaintiff (mortgagor or subsequent mortgagee) and defendants (prior mortgagee, mortgagor, etc.).
Property Description: Detailed schedule of the mortgaged property.
Mortgage Details: Dates, amounts, interest rates for prior and subsequent mortgages.
Redemption Terms: Timeframe for payment of prior mortgage dues by subsequent mortgagee or mortgagor.
Foreclosure/Sale Provisions: Directions for sale if redemption fails, including auction process.
Accounts and Adjustments: Calculation of mesne profits, rents, and equitable adjustments.
Costs and Interest: Award of court costs, future interest rates.
Execution Clause: Provisions for execution as per CPC Order XXI.

This comprehensive structure ensures the decree is precise, legally sound, and executable.

Who Should Use This Format?

Mortgagees and Mortgagors: In disputes over layered mortgages on immovable property.
Lawyers and Advocates: Handling redemption suits in civil courts across India.
Financial Institutions: Banks recovering dues under subsequent mortgages.
Real Estate Firms: Resolving title issues from multiple encumbrances.

Common use cases: Civil suits for mortgage foreclosure, redemption in urban properties, agricultural land disputes, or commercial real estate.

Download Your Customizable Decree Template Now

Get instant access to our professional Decree for Redemption of Prior Mortgage and Foreclosure or Sale on Subsequent Mortgage (Order XXXIV, Rules 2, 3 and 4) Format. Available in editable Word for customization or print-ready PDF. Free download option for basic version; premium paid templates offer AI-generated customizations and legal review add-ons.

Important Note

This is a sample legal template for educational and drafting purposes. Always customize it to your specific case facts and consult a qualified Indian lawyer for advice. Not a substitute for professional legal services. Explore related formats like Preliminary Decree under Order XXXIV Rule 2, Final Mortgage Decrees, or other CPC templates for comprehensive mortgage litigation support.

Keywords: Decree for Redemption of Prior Mortgage Format India, Order XXXIV Rules 2 3 4 sample, mortgage foreclosure decree PDF free download, customizable CPC decree Word template.

DECREE FOR REDEMPTION OF PRIOR MORTGAGE AND FORECLOSURE OR SALE ON SUBSEQUENT MORTGAGE(ORDER XXXIV, RULES 2,3 AND 4)

Decree for redemption of prior Mortgage and foreclosure or sale on subsequent Mortgage(Order XXXIV, Rules 2,3 and 4)

[Plaintiff ????????????.2^nd Mortgagee,

Versus

Defendant No. 1 ???????????Mortgagor,

Defendant No. 2 ???????????.1^st Mortgagor].

(Order XXXIV, Rules 2,3 and 4)

IN THE COURT OF ??..

SUIT NO??? 20?...

The suit coming on this ?????. day, etc.; It is hereby declared that the amount due to the defendant No. 2 on the mortgage in the plaint calculated upto this day of ????..??. is the sum of Rs????. for interest on the principal, the sum of Rs???.. for interest on the principal, the sum of Rs?????.. for costs, charges and expenses (other than the costs of suit) property incurred by defendant No. 2 in respect of the mortgage security with interest thereof and the sum of Rs????.. for the costs of this suit awarded to defendant the sum of Rs???..

(Similar declaration to be introduced with regard to the amount due from defendant No. 1 to the plaintiff in respect of his mortgage if the mortgage-money due thereunder has become payable at the date of the suit).

2. It is further declared that defendant No. 2 is entitled to payment of the amount due to him in priority to the plaintiff of (if there are several subsequent mortgagees) that the several parties hereto are entitled in the following order to the payment of the sums due to them respectively.

3. And it is hereby ordered and decreed as follows :

(i) (a) that the plaintiff or defendant No. 1 or one of them do pay into Court on or before the ?????.. day of ????? or any later date up to which time for payment has been extended by the Court the said sum of Rs?????. due to defendant No. 2; and

(b) that defendant No. 1 do pay into Court on or before the ???? day of ??? or any later date up to which time for payment has been extended by the Court the said sum of Rs???.. due to plaintiff; and

(ii), that, on payment of the sum declared due to the defendant No. 2 by the plaintiff and defendant No. 1 or either of them in the manner prescribed in Cl.(i)(a) and on payment thereafter, before such date as the Court may fix of such amount with interest, if any, as the Court may adjudge due in respect of such costs of the suit and such costs, charges and expenses as may be payable under Rule 7 of Order XXXIV of the First Schedule to the Code of Civil Procedure (Act V of 1908) defendant No. 2 shall bring into Court all documents in his possession or power relating to the mortgaged property in the plaint mentioned and all such documents shall be delivered over to the plaintiff or defendant No. 1 (whoever has made the payment); or to such person as he appoints, and defendant No. 2 shall, if so required, re-convey or re-transfer the said property free from the said mortgage and clear of and from all encumbrances created by defendant No. 2 or any person claiming under him or any person under whom he claims, and also free from all liabilities whatsoever arising from the mortgage or this suit and shall, if so required, deliver up to the plaintiff or defendant No.1 (whoever has made the payment) quiet and peaceable possession of the said property.

(Similar declaration to be introduced, if defendant No. 1 pays the amount found or declared due to the plaintiff, with such variation as may be necessary having regard to the nature of his mortgage).

4. And it is hereby further ordered and decreed that, in default of payment as aforesaid of the amount due to defendant No. 2

(i) (In the case of mortgage by conditional sale or an anomalous mortgage where the only remedy provided for in the mortgage deed is foreclosure and not sale) that the plaintiff and defendant No. 1 jointly and severally shall thenceforth stand absolutely debarred and foreclosed of and from all right to redeem the mortgaged property described in the schedule annexed hereto and shall, if so required, deliver to the defendant No. 2 quiet and peaceable possession of the said property; or

(ii) (In the case of any other Mortgage) that the mortgaged property or a sufficient part thereof shall be sold, and that for the purpose of such sale defendant No. 2 shall produce before the Court or such officer as it appoints all documents in his possession or power relating to the mortgaged property; and

(iii) [in the case where a sale is ordered under Cl. 4(ii) above] that the money realized by such sale shall be paid into Court and be duly applied (after deducting therefrom the expenses of the sale in payment of the amount payable to defendant No. 2 under the decree and any further orders that may have been passed after decree and in payment of the amount with interest if any, which the Court may have adjudged due to defendant No. 2 in respect of such cost of the suit and such costs, charges and expenses as may be payable to the plaintiff under Rule 7 of Order XXXIV of the First Schedule to the Code of Civil Procedure (Act V of 1908) and that the balance, if any, shall be applied in payment of the amount due to the plaintiff and that, if any further balance be left, if shall be paid to defendant No. 1 or other person entitled to receive the same; and

(iv) that, if the money realized by such sale shall not be sufficient for payment in full of the amounts due to defendant No. 2 and the plaintiff, the balance, if legally recoverable otherwise than out of the property sold, be personally paid by defendant No. 1 to defendant No. 2 or the plaintiff or both them, as the case may be.

5. And it is hereby further ordered and decreed :

(a) that if the plaintiff pays into Court to the credit of this suit the amount adjudging due to defendant No.2 but defendant No. 1 makes default in the payment of the said amount, the plaintiff shall be entitled to keep defendant No. 2?s mortgage alive for his benefit and he shall be entitled to benefits similar to those conferred upon defendant No. 2 as per Cl. 4 above.

(i) that the defendant No. 1 shall thenceforth stand absolutely debarred and foreclosed of and from all right to redeem the mortgaged property described in the schedule annexed hereto and shall, if so required, deliver up to the plaintiff quiet and peaceable possession of the said property); or

(ii) that the mortgaged property or a sufficient part thereof be sold and that for the purposes of such sale the plaintiff shall produce before the Court or such officer as it appoints all documents in his possession or power relating to the mortgaged property); and

(b)(in the case of mortgage by conditional sale or an anomalous mortgage where the only remedy provided for in the mortgage deed is foreclosure and not sale), that the whole of the liability of defendant No. 1 arising from the plaintiff?s mortgage and from the mortgage or defendant No. 2 or from this suit shall be deemed to have been discharged and extinguished.

And it is hereby further ordered and decreed (in the case where a sale is ordered under Cl. 5 above) (i) that the money realized by such sale shall be paid into Court and be duly applied (after deduction therefrom of the expenses of the sale) first in payment of the amount paid by the plaintiff in respect of defendant No. 2?s mortgage and the costs of the suit in connection therewith and that the balance, if any, shall then be applied in payment of the amount adjudged due to the plaintiff in respect of his own mortgage under this amount and any further order that may be passed after decree and in payment of the amount with interest, if any, which the Court may have adjudged due in respect of such costs of suit and such costs, charges and expenses may be payable to the plaintiff under Rule 7 of Order XXXIV of the First Schedule to the Code of Civil Procedure (Act V of 1908) and that the further balance, if any, shall be paid to defendant No. 1 or other persons entitled to receive the same, and if the money realized by such shall be sufficient for payment in full of the amount due in respect of defendant No. 2?s mortgage or the plaintiff?s mortgage, the balance if legally recoverable otherwise than out of the property sold be personally paid by defendant No. 1 to defendant No. 2

SCHEDULE

Description of the mortgaged property

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Important Guidelines

Guidelines for Drafting Decree for Redemption of Prior Mortgage and Foreclosure or Sale on Subsequent Mortgage (Order XXXIV, Rules 2, 3, and 4):

This decree is employed in mortgage-related legal proceedings when there are multiple mortgages on a property, and the court needs to address the redemption of a prior mortgage and foreclosure or sale of the property due to default on a subsequent mortgage. Follow these guidelines for effective drafting:

Clearly Identify the Mortgages: Clearly identify the prior and subsequent mortgages involved. Specify the parties, amounts, and terms of each mortgage to avoid confusion.

Specify Redemption Terms: Clearly outline the terms and conditions for the redemption of the prior mortgage. Include the redemption amount, timeframes, and any other relevant details.

Define Foreclosure or Sale Procedure: Clearly articulate the procedures for foreclosure or sale on the subsequent mortgage in case of default. Specify the method (public auction or private sale), timing, and any legal requirements for the process.

Adhere to Order XXXIV Rules: Ensure strict adherence to the procedural rules outlined in Order XXXIV, Rules 2, 3, and 4 of the Code of Civil Procedure (CPC). Compliance with these rules is crucial for the validity and enforceability of the decree.

Common Mistakes to Avoid:

Vague Redemption Terms: Avoid ambiguity in specifying redemption terms. Clearly define the redemption amount and conditions to prevent disputes.

Inadequate Property Description: Ensure a comprehensive and accurate description of the mortgaged property to avoid complications during the foreclosure or sale process.

Non-Compliance with Legal Procedures: Familiarize yourself with legal standards governing mortgage-related decrees. Failure to comply with procedural rules may result in legal challenges and affect the enforceability of the decree.

Omission of Necessary Parties: Identify all necessary parties involved in the mortgages to avoid complications. Failure to include essential parties may hinder the decree's effectiveness.

By following these guidelines and avoiding common mistakes, you can draft a comprehensive decree addressing the redemption of a prior mortgage and the foreclosure or sale on a subsequent mortgage, facilitating a clear and legally compliant resolution of mortgage-related disputes.

Frequently asked questions

What is a Decree for Redemption of Prior Mortgage and Foreclosure or Sale on Subsequent Mortgage (Order XXXIV, Rules 2, 3 and 4)?→

This is a standard court decree under the Code of Civil Procedure, 1908 in India, used in mortgage suits to allow redemption of a prior mortgage while foreclosing or ordering sale of the property under a subsequent mortgage. It specifies payment terms, accounts, possession, and costs.

Is this decree format legally valid in Indian courts?→

Yes, this template strictly follows Order XXXIV Rules 2, 3, and 4 of the CPC, making it legally valid for use in Indian civil courts handling mortgage redemption and foreclosure cases.

Does this decree require stamp duty or court fees in India?→

As a judicial decree, it attracts court fees based on the suit value under the Court Fees Act, 1870. Stamp duty applies if the decree involves conveyance; verify with state-specific rules.

In what format can I download this decree template?→

Download this legal decree in editable Word (.docx) or non-editable PDF format, suitable for Indian legal proceedings and easy customization.

Can I customize or edit this decree document?→

Yes, this customizable Word template allows editing of party details, property descriptions, mortgage amounts, and terms to fit your specific case in India.

When and who should use this Decree for Redemption of Prior Mortgage?→

Use this by plaintiffs or defendants in mortgage suits seeking redemption of prior encumbrances and foreclosure/sale on later mortgages under CPC Order XXXIV in India.